- Strategy
- Buys when Aroon Up crosses above Aroon Down and Aroon Up is at least 70, and sells when Aroon Down crosses above Aroon Up and Aroon Down is at least 70. The stop is 1.5 x ATR and the target is 2R.
- Risk model
- 1% of balance per trade (configurable), stop-loss on every order, one position at a time
What it does
The Aroon indicator measures how recently price made its highest high and lowest low within a lookback window. A high Aroon Up means a new high was made recently; a high Aroon Down means a new low was. This EA buys when Aroon Up takes the lead over Aroon Down and is already strong, and sells the opposite.
Every trade has an ATR-based stop-loss and a reward-to-risk target, with position size based on a percentage of balance.
How it works
The Aroon lines are calculated inside the EA on each new bar:
- Aroon Up = 100 x (period - bars since the highest high) ÷ period, searching the last period + 1 bars.
- Aroon Down = 100 x (period - bars since the lowest low) ÷ period.
- Buy: Aroon Up is above Aroon Down on the last closed bar and was at or below it on the bar before, and Aroon Up is at least 70.
- Sell: Aroon Down crosses above Aroon Up and is at least 70.
- Crosses below the strength level are ignored and logged.
- Stop-loss: 1.5 x ATR(14). Target: 2R. Exit: by default the position closes on the opposite cross.
How to use it
Aroon reacts to fresh highs and lows, so it can identify the start of a trend earlier than smoothed indicators. It works best on instruments that break out of ranges into clear trends, such as major pairs on H1 and H4. Raising the strength level demands a more recent extreme and reduces trade count.
Combine it with your own reading of trendlines or support and resistance if you want extra context before enabling it.
Settings
| Input | Default | What it changes |
|---|---|---|
| Aroon period | 25 | Lookback for the highest high and lowest low. |
| Strength level | 70 | The leading Aroon line must be at or above this value. |
| Stop-loss distance (x ATR) | 1.5 | Stop distance as a multiple of ATR(14). |
| Take-profit (R multiple) | 2.0 | Target as a multiple of the stop distance. |
| Exit on opposite cross | true | Closes the trade on the opposite Aroon cross. |
| Risk per trade (% of balance) | 1.0 | Share of balance risked between entry and stop. |
| Fixed lots | 0 | Fixed volume instead of risk %; 0 = risk-based. |
| Maximum spread (points) | 20 | Skips signals when the spread is wider; 0 = off. |
| Trading start / end hour | 7 / 20 | Server-time window for new trades; equal values = 24 hours. |
| Move stop to break-even | true | Stop to entry + 20 points once profit reaches 1R. |
| Use trailing stop | false | Trails the stop 2 x ATR behind price. |
| Magic number | 2611012 | Identifies this EA's trades. |
Limitations
- Aroon lines move in steps and can jump sharply when an old extreme drops out of the window.
- In ranges, new highs and lows alternate and the lines cross repeatedly.
- A single spike can make Aroon look strong even though the trend is weak.
- The strength filter at the exact crossover bar can reject reasonable signals.
Before you run it live
Test on a demo account and in the MetaTrader 5 Strategy Tester over several years first. No backtest results are published for this EA, and any test describes the past only.
- Match the spread limit and trading hours to your broker's spreads, stop level and session times, and include commission and swap in tests.
- Start with 1% risk or less and check the lot sizes in the Experts log; the Position Size Calculator is a useful cross-check.
- Use a different magic number on each chart, and keep the terminal (or a VPS) running so stops are managed.
Keep the risk per trade modest while testing, and check how many crosses the strength filter removes in the Experts log.