Forex Factory News EA – A Powerful Tool for Automated News Trading

Table of Contents

The Forex Factory News EA is an expert advisor designed specifically for news trading on the forex market. Developed by Aleksei Moshkin and sold on mql5.com, this EA aims to help traders capitalize on short-term price movements around major news events.

Download Free Forex Factory News EA

How It Works

The core functionality of the Forex Factory News EA is simple – it automatically places pending buy stop and sell stop orders before major news events, aiming to profit from the inevitable spike in volatility.

The news events themselves are downloaded directly from the Forex Factory, Investing.com, and myfxbook.com calendars. You just need to add the URL for these sites in the terminal settings to enable the news feed.

Once enabled, the EA will scan the calendars and identify upcoming high impact events related to the currency pair it is attached to. For example, if attached to EUR/USD it will look for EUR or USD news.

You can configure the EA to place the pending orders at fixed levels or at dynamic levels hidden from the broker. Once a level is hit after the news release, an order is triggered and managed by the EA’s logic.

Key Features

Here are some of the standout features that make this a versatile news trading solution:

Real-time economic calendar integration – Auto-imports events from multiple sources to identify trading opportunities
Multi-pair support – Attach to any symbol and define currency filters for relevant news
Hidden levels – Option to hide entry levels from broker to avoid manipulation
Fully automated – Places entries, sets stops, trails prices, and closes positions
Customization – Multiple options to fine-tune strategies and risk management
Visual dashboard – See all upcoming events in one view with impact sorting

Strategies and Usage

The Forex Factory News EA for MT4 is highly flexible when it comes to implementation. At its core, it aims to capitalize on the volatility from news events – but the exact strategy can be customized in many ways.

You can tweak parameters like the entry trigger levels, stop loss and take profit distances, trailing stop values, order sizes, and more. It also gives you additional options like trading the news items from a predefined list instead of the whole calendar.

This allows you to fine-tune it for different trading styles:

Breakout trading – Trigger when support/resistance levels break after news
Spike trading – Close orders quickly after entry to capture volatility spike
Trend following – Use wide stops to ride emerging trends post-news

In terms of usage, it’s designed to be attached to individual charts rather than running globally. This allows you to set distinct parameters and filters for different currency pairs.

The key is to experiment with settings across various pairs to identify what works best for each one based on typical volatility profiles.

Evidence of Profitability

As with any EA, historical backtest results need to be taken with a grain of salt. That said, the vendor shows backtests with very impressive profitability metrics across different pairs and timeframes.

28 currency pairs are shown with total net profits ranging from $15,000 to $150,000 over a multi-year test period. The average profit factor is above 2.0 and max drawdown is generally kept below 20%.

These are stellar metrics that indicate a solid approach to news trading in theory. However, live results are ultimately what matters most.

Unfortunately there is no verified track record for live account performance. As usual with commercial EAs, users have to take the vendor’s word regarding real money trading. Any live trading stats should be considered unverified.

So there is no concrete proof the EA can replicate the backtest consistency going forward. As with any EA purchase, proceed with caution and use proper risk management.

Forex Factory News EA Pricing

The Forex Factory News EA is priced at $199 for a single license, with discounts available for multiple copies:

1 license = $199
2 licenses = $299
5 licenses = $499

The license allows use on one live or demo account. Additional licenses can be purchased for running the EA on more accounts.

Compared to many commercial EAs the pricing is quite reasonable. Given the complexity of news trading automation, it offers good value if it can consistently capture even a portion of the backtest performance.

Forex Factory News EA Verdict

Overall, the Forex Factory News EA is one of the more interesting automated news trading solutions available. The direct integration of economic calendars, multi-pair capacity, and customization options give it an edge over simpler EAs.

For traders specifically seeking to capitalize on news events without monitoring the charts manually, this EA can do most of the heavy lifting.

As always, skepticism is warranted over backtest accuracy and live trading consistency. But the functionality is there for those willing to experiment and find the right settings for their needs.

Approached with realistic expectations and sound risk management, the Forex Factory News EA provides an automated toolkit for exploiting news events on the forex markets.