In this post I will be reviewing the Forex Weekend Gap EA for the free to download MetaTrader 4 trading platform. This is a fully automated forex trading system based on the popular and widely used gap trading strategy. Trading the weekend gaps has been a strategy that has been around forever. It requires absolutely no previous trading experience. You simply set up the Forex Weekend Gap EA on your MetaTrader 4 trading platform using the included and easy to follow setup instructions and let it look for gap trading opportunities for you. Gap trading can be powerful when done correctly although it’s lack of frequency is not for everyone. Although it can be better to take few high probability trading setups than multiple more riskier trades – which also saves time.
Forex Weekend Gap EA Strategy
The Forex Weekend GAP EA implemented strategy does not use any indicators are fundamental analysis; it is very simple and straight forward to understand. You can trade the weekend gap on multiple currency pairs and there are broker filters to ensure you do not trade the gap when the weekend spread has been widened too much which would make it difficult to profit. Some brokers will even widen the spread greater than the weekend gap which of course makes it very difficult to profit from. Ensure that you are using a regulated true ECN forex broker for the most competitive spreads and execution speeds. The Forex Weekend Gap EA allows you to set the minimum gap required for a gap trade to be placed. The trading strategy is basically to take advantage of the gap from where market price opened away from the closing price prior to the weekend. If the open price when the market opens is greater than the closing price then it is expected that the price will move back to the closing price essentially covering the weekend gap. If the weekend gap was 30 pips we could aim for the full gap to close or to break even and close half the position as half the gap closes and let the rest play out. These settings can be adjusted from the Forex Gap EA settings.
Forex Weekend Gap EA Summary
Overall, the Forex Weekend Gap EA is based around a solid trading strategy that has been around for a while. It only trades once a week on each pair when the market opens but you can trade it on multiple currencies. The thing is you should ensure that if you do trade multiple pairs make sure you spread the risk out accordingly. Chances are at least 50% of the gaps will close but in case they don’t you do not want to be over exposed. Weekend gaps usually close within a day and if they don’t you could exit the position if you did not take a stop loss before hand. The Forex Weekend Gap EA does not have any live results available or even back tests on the website but fire up some charts and take a look at the gaps for yourself and I am sure you will see the potential there, even if you wanted to trade the weekend gap manually it would only take a few minute upon market opening. The Forex Weekend Gap EA comes with full support, instructions, an optional broker spread monitor (you can get this info for free from MyFxBook Spreads) and a 60 day money back guarantee.