It's very good for funded account challenges because the risk can be adjusted and the maximum dropdown over many years is 4%

Fully automated systematic trend-following trading robot designed for swing and position trading on higher timeframes, optimized for Daily charts.

The strategy combines:

• Long-term trend filtering
• Volatility-adjusted risk management
• ATR-based trailing exits
• Optional pyramiding for trend compounding

It is built around the core principles used by professional CTA (Commodity Trading Advisor) systems: ride strong trends, cut losses quickly, and let profits run.

Core Strategy Logic

Trend Detection

The bot identifies market direction using:

• 50-period Simple Moving Average
• 200-period Simple Moving Average

Long Entries

The robot opens BUY positions when:

• 50 SMA > 200 SMA

This confirms bullish market structure and trend continuation.

Short Entries

The robot opens SELL positions when:

• 50 SMA < 200 SMA

This confirms bearish market structure and downside momentum.

Volatility-Based Risk Management

The system uses:

• 21-period ATR (Average True Range)

ATR dynamically measures current market volatility.

This allows:

• Adaptive stop placement
• Consistent percentage-based risk
• Automatic adjustment to changing market conditions

Dynamic ATR Trailing Stop

The bot does not use fixed take-profit targets.

Instead, positions are managed using a professional ATR trailing stop mechanism:

• Stops tighten as trades move into profit
• Stops never widen
• Winning trades are allowed to run during major trends

This creates asymmetric risk/reward behavior:

• Small controlled losses
• Potentially very large trend captures

Position Sizing Engine

The strategy includes automatic risk-based position sizing.

Features:

• Adjustable risk per trade
• Lot size calculated automatically
• Consistent exposure across different volatility environments

Default setting:

• 1% account risk per trade

This helps maintain disciplined portfolio management.

Optional Pyramiding

The robot supports optional pyramiding:

• Additional positions can be added during strong trends
• New entries occur after the existing trade gains 1 ATR in profit

This allows the strategy to compound aggressively during sustained directional moves.

Pyramiding can be:

• Enabled
• Disabled

depending on the trader’s risk profile.

Best Use Cases

CTA Trend Following v2 is best suited for:

• Forex majors
• Indices
• Commodities
• Crypto trend markets

Recommended timeframe:

• Daily (D1)

Recommended style:

• Swing trading
• Long-term trend following
• Portfolio diversification systems

Key Advantages

• Fully systematic and emotion-free
• Adaptive to market volatility
• Professional trend-following architecture
• Strong risk management framework
• Capable of capturing large directional moves
• Low decision fatigue
• Suitable for prop-style portfolio trading

Technical Features

• SMA trend filtering
• ATR trailing stop engine
• Dynamic position sizing
• Optional pyramiding
• Automated execution
• Daily timeframe optimization
• Low-frequency trading model

Ideal Trader Profile

This system is ideal for traders who prefer:

• Long-term consistency over high-frequency trading
• Mechanical rule-based execution
• Trend-following methodologies
• Lower screen time
• Portfolio-style trading approaches