- Strategy
- Buys when a candle's low tags a 00 or 50 level, closes back above it with a long lower wick and price is above the 200 EMA; sells the mirror rejection below the EMA.
- Risk model
- 1% of balance per trade (configurable), stop-loss beyond the rejection wick on every order, one position per symbol and magic number
What it does
Prices ending in 00 or 50, such as 1.0800 or 1.0850 on EUR/USD, are where many traders place orders. Round Number Bounce EA watches those levels and trades a clear rejection candle at them, but only in the direction of the larger trend, defined by a 200-period EMA.
How it works
Levels are multiples of the spacing input. With 500 points on a 5-digit pair (point = 0.00001), the levels are every 0.0050 (50 pips). On each new bar, for the last closed candle:
- Find the round level nearest to the candle low.
- Buy setup: the low is within 30 points of that level, the candle closes above the level, the lower wick is at least half the candle's range, and the close is above the 200 EMA.
- The stop goes below the candle low minus 0.2 ATR, the target is 2 R.
Sells use the level nearest to the candle high, an upper-wick rejection and a close below the EMA. Example (illustrative): a candle on EUR/USD with a low of 1.07985, a high of 1.08060, an open of 1.08020 and a close of 1.08050 touches 1.0800 within 15 points and closes above it; its lower wick of 35 points is about 47% of its 75-point range, so with the default 0.5 ratio it would not qualify.
How to use it
On gold (point 0.01 on most brokers), 500 points gives levels every 5.00; set 1000 for every 10.00. For JPY pairs with 3 digits, 500 points is 0.500 (50 pips). Use H1 or H4 for cleaner signals; on low timeframes round levels are touched constantly. The trend filter keeps the EA trading pullbacks rather than fading the trend.
Settings
| Input | Default | What it changes |
|---|---|---|
| Level spacing (points) | 500 | Which round levels are used |
| Touch tolerance (points) | 30 | Closeness to the level |
| Minimum wick ratio | 0.5 | Strength of the rejection |
| Stop buffer (x ATR) | 0.2 | Room beyond the wick |
| Max stop (x ATR) | 2.5 | Skips very large candles |
| Trend EMA period | 200 | Direction filter |
| Risk % / Fixed lots | 1.0 / 0 | Position sizing |
| Take-profit (R) | 2.0 | Target distance (0 = none) |
| Max spread / hours | 30 points / 7 to 20 | Entry filters |
| Break-even / Trailing | on at 1 R / off | Trade management |
Limitations
Round numbers are well known, so price often overshoots them to trigger stops before turning, which can stop the EA out. A fixed point tolerance behaves differently on calm and volatile days. The EMA filter lags at turning points. Spacing must be set per instrument; the defaults are chosen for 5-digit forex pairs.
Before you run it live
Check the levels on your chart for each symbol you plan to use, then test in the Strategy Tester and on a demo account. Make sure spread is small relative to the tolerance. Our pip and pipette entries explain the difference between pips and points. Keep risk small. Trading carries a substantial risk of loss.