User guide

Walk-through explanation of the parameters and idea behind the two expert advisors offered on website

Prerequisites

In order to ensure the correct operation of the expert advisors, you have to enable DLL imports in MetaTrader terminal settings. You also have to allow Algo Trading when using the EAs in Server mode.

Important: Always restart both MetaTrader platforms (agent and server) when switching trading accounts.

Important: Everyone can get support on how to setup and run the EAs. This usually happens via Zoom, TeamViewer or AnyDesk. The fee is 59 € per hour (payable via Bitcoin, SEPA bank transfer or Revolut payment, order one here). The time window of the consultation is between 16:00 London and 20:00 London weekdays.

Arbiter Forex Arbitrage EA

Latency arbitrage involves taking advantage of slower quotes from one broker by predicting that they will eventually match the faster quotes from another broker. This allows traders to profit by anticipating market movements and placing trades in the right direction. These price differences may only last for a short time, but they can still be used to make substantial profits. The idea behind latency arbitrage is to exploit these delays in order to gain an advantage in the market.

Basic settings of Arbiter Forex Arbitrage EA

  1. License Number - This is where you can enter your purchased license number to remove the restriction on only being able to trade on demo accounts.
  2. Operation Mode - Choose to switch from SLOW broker (the account on which trades are made) to FAST broker (the account from which the fast quotes come). The Expert Advisor has to be installed on two MetaTrader platforms - one acting as a server, the other as agent on the same local computer. The FAST broker (agent) sends price quotes from fast broker to the SLOW broker (server) from the predefined trading instrument. If price discrepancy occur between slow and fast broker, the EA attached on server will open position in the direction of fast broker's quotes.
  3. Server Port - The computer communication port used for data exchange between the agent and server. The chosen port must be unused by other software.
  4. Broker Color - The color of the price lines from FAST broker (agent) displayed on chart of theSLOW broker (server). Used for important initial price alignment between quotes of brokers.
  5. Symbol on SLOW broker - Which trading symbol should be arbitraged on SLOW broker (server). Trading symbols between brokers can differ in their names, here is the place to specify the symbol on the SLOW broker (server).
  6. Trading Start (Hour) - The hour at which to start placing trades. This is the beginning of the time window for automated trading.
  7. Trading Start (Minute) - The minute at which to start placing trades. This is the beginning of the time window for automated trading.
  8. Trading End (Hour) - The hour at which to stop placing trades. This is the end of the time window for automated trading. This time window is based on slow broker's server time with corresponding time zone.
  9. Trading End (Minute) - The minute at which to stop placing trades. This is the end of the time window for automated trading. This time window is based on slow broker's server time with corresponding time zone.
  10. Trade Type - Instructs the EA to execute only buy orders, sell orders or both.
  11. Auto Price Alignment - In SLOW broker (server) mode, this setting allows the EA to periodically adjust the starting point of quotes between slow and fast brokers to compensate for any deviations that occur during the trading session.
  12. Manual Price Alignment (+/- points) - In SLOW broker (server) mode, if you disable auto price alignment, you need to manually match the prices between Agent and Server for the given instrument. It's important to do this correctly because it allows the EA to set the same starting point for prices between slow and fast brokers, which is needed to calculate price deviations and make trade decisions.equal starting point of prices between slow and fast broker in order to calculate price deviations and make trade decision.
  13. Gap size (in %) - In SLOW broker (server) mode this value is used to trigger the trade - if there is a gap between quotes of slow and fast broker more than selected percent, plus 2 spreads. During highly volatile sessions the default value ahould be increased and vise-versa.
  14. Maximum Position Holding Time (seconds) - Opened position by the EA will be closed automatically after the defined amount of time when EA operates in Turbo Mode.
  15. Auto Volatility Filter - In SLOW broker (server) mode, this setting tells the EA to automatically check if the current market volatility is high enough before opening a new position to avoid false trade signals caused by market noise.
  16. Manual Volatility Filter (points) - Manually set volatility threshold as points in respect to current symbol in order to protect yourself from market noise, has effect when the Auto Volatility Filter is disabled.
  17. Turbo Mode - In this mode the EA will not set SL and TP levels, instead positions will be closed only after maximum position holding time was reached or if as soon as current position profit become positive. All positions in this mode are closed very quickly (sometimes under 1 sec.), utilizing the price discrepancy between brokers more efficiently.
  18. Stop Loss (points - not used in Turbo Mode) - The protective stop-loss in points used to preserve the account capital. This parameter has no effect when EA operates in Turbo Mode.
  19. Take Profit (points - not used in Turbo Mode) - Profit target in points. The trades are closed either by stop-loss or by take-profit. Do not set this value too close to the current price. Recommended SL/TP ratio is 2:1. This parameter has no effect when EA operates in Turbo Mode.
  20. Lot Size - The volume of every position, adjust this according your risk management and account balance.
  21. Display Log - For debugging purposes, displays in MetaTrader journal messages from the process of the EA.
  22. Enable Alerts on Deal - Display alert messages in MetaTrader platform when a trade is made by the EA. Use this to get an idea if current slow broker can be exploited by arbitrage without opening a trade (remember to disable Algo Trading in MetaTrader platform first before using this).

 

Example parameters of the Arbiter Forex Arbitrage EA

One important part of the setup process of the Arbiter Forex Arbitrage EA is the price alignment offset. Since the quotes of the slow broker always try to catch-up quotes of the fast broker, we have to initially align them (set the equal starting point). If quotes from the fast broker are not properly aligned with the quotes from slow broker, false trading signals may be generated, leading to losing trades. Keep an eye during the trading session on the EA and - if needed - adjust manually this offset.

 

Video

Watch how to setup and use Latency Arbitrage Expert Advisor on Demo trading account. The EA is attached on two MetaTrader platforms, one acting as a server (slow broker), the other as a client (fast broker). Using separate versions at the same time of the MetaTrader platform, MetaTrader 5 and MetaTrader 4. Both trading terminals are installed on the same physical computer, which provides the ability to fill deals under 40 ms.