Overview
Dragons Risk Shield EA V1.0 MT4 is a risk-centric automated trading system for MetaTrader 4. The EA’s core job is simple: protect capital first and let trades play out only when the conditions are aligned. It focuses on single-trade exposure (per symbol), uses a measured position-sizing engine (risk-percent model), and enforces daily/weekly loss halts. If you’ve been burned by martingale or grid blowups, this one’s a breath of fresh air.
Who it’s for
- Prop firm challengers who must respect daily drawdown rules.
- Retail traders who want structure and strong guardrails.
- Cautious investors who value steady growth over lottery-ticket wins.
How it trades (high level)
- Uses a trend-plus-volatility filter (e.g., EMA alignment and ATR thresholds) to pick a bias.
- Enters on breakout or pullback confirmations; avoids random chops.
- Applies fixed SL/TP measured in ATR and activates break-even + trailing when price moves in your favor.
- Limits max open trades and blocks new entries after a defined daily loss cap or equity drawdown is hit.
- Optional news/session filters to sit out chaotic windows.
Pairs & timeframe
- Works well on EURUSD, GBPUSD, XAUUSD; start on M15–H1 for cleaner signal-to-noise.
- Use a reliable ECN account and a VPS (latency < 50 ms) for consistent execution.
Key Features
- No Martingale, No Grid — one position at a time per symbol; sizing via risk percent.
- Equity Guard — hard equity stop in USD and/or %; protects the overall account.
- Daily/Weekly Loss Halt — automatically pauses new trades after a configured loss threshold.
- Risk-Percent Position Sizing — lot size derives from your chosen RiskPercent and actual stop distance.
- ATR-Based SL/TP — volatility-aware risk so stops aren’t too tight in fast markets.
- Break-Even & Trailing — lock gains once price moves your way; configurable activation points.
- Session Filter — trade only during liquid sessions (e.g., London/NY overlap).
- News Filter (optional) — skip high-impact events; reduce slippage traps.
- Max Open Trades — global cap to prevent exposure stacking across pairs.
- Pause-After-Loss — cool-off timer to avoid revenge trading logic.
- Magic Number & Comment Tags — clean separation if you run multiple EAs.
- FIFO/No-Hedge Mode — optional settings to align with prop/broker rules.
- Lightweight & Stable — designed to be VPS-friendly and consistent.
How the Strategy Approaches Entries
Trend Filter
- Looks for alignment of a fast and slow EMA (e.g., EMA 50 over EMA 200) to establish bias.
- Counter-trend trades off limits by default; can be allowed with stricter risk if you really want (not advised).
Volatility Filter
- Uses ATR to confirm there’s enough range to justify a trade.
- If the market’s sleepy or insanely volatile, it steps aside.
Entry Models
- Breakout: triggers on structure breaks with a clean impulse.
- Pullback: joins the trend after a measured retracement and rejection.
Exit Logic
- Hard SL/TP: always present and respected.
- Break-Even: activates after X ATR in profit.
- Trailing Stop: ratchets behind price; you choose step and distance.
- Time-Based Exit (optional): close before session end to avoid overnight risk.
Recommended Settings (Good Starting Point)
- RiskPercent: 0.5%–1.0% per trade (prop firms often prefer ≤0.5%)
- MaxDailyLossPercent: 3%–4% (halts new entries when reached)
- MaxWeeklyLossPercent: 7%–10% (optional additional guard)
- EquityStopPercent: 15% (global equity guard)
- MaxOpenTrades: 1 per symbol (start conservative)
- ATRPeriod: 14 | SL_ATR: 1.8–2.5 | TP_RR: 1.5–2.0
- BreakEvenTrigger: +1.0 ATR | BreakEvenOffset: +0.2 ATR
- TrailingStart: +1.5 ATR | TrailingStep: 0.5 ATR
- Session Filter: On (London+NY overlap)
- News Filter: On (skip high-impact)
- Symbols: Start with EURUSD; add XAUUSD once stable
- Timeframe: M15 (or H1 if you prefer fewer signals)
- Leverage: 1:100–1:500 (don’t let leverage tempt you into bigger risk)
- VPS: Strongly recommended
Backtest Results & How to Test Properly
Instead of tossing out wild “% per month” claims, Dragons Risk Shield EA V1.0 MT4 encourages evidence-based testing:
How to run a meaningful backtest
Data quality: Use tick data with proper spreads/commission modeling.
5-year span (or more): Include bull, bear, and choppy phases.
Robustness checks:
- Monte Carlo: randomize spread/slippage/order delay.
- Walk-Forward: optimize on one period, validate on the next.
Key metrics to watch:
- Max Drawdown (realistic) and underwater duration
- Trade count (enough samples to matter)
- Win rate × average R (expect realistic variance)
- Stability (no single month driving the equity curve)

What a healthy equity curve looks like
- Gradual stair-step with shallow dips, not vertical spikes.
- DD under control (your settings drive this; risk small).
- Low sensitivity to minor parameter changes (robustness).

How to Install & Configure (MT4)
- Copy files: Place the EA file into
MQL4/Expertsinside your MT4 data folder. - Restart MT4: Or right-click “Expert Advisors” and choose Refresh.
- Allow algo trading: Enable Algo Trading in MT4 top toolbar.
- Attach to chart: Open EURUSD M15 (starter symbol/timeframe) and attach the EA.
- Check common settings: Allow DLL imports if the news/session filters require it.
- Input parameters: Set RiskPercent, SL/TP, ATR, Daily/Weekly Loss caps, Session and News filters.
- Run on a VPS: Keep MT4 live 24/5 to avoid missed signals and reboots.
Risk Management Playbook (Use This Daily)
- Never raise RiskPercent to “win it back.” Keep it constant.
- Daily stop means stop. When the EA halts, you halt.
- Diversify across pairs cautiously. Correlated pairs can double your risk.
- Withdraw profits periodically. Protect gains outside the trading account.
- Journal weekly. Note slippage during news, spread spikes, and broker quirks.
Prop-Firm & Broker Compliance
- FIFO / No-Hedge Mode: Enable if your broker/firm requires it.
- Avoid HFT-like configs: Over-tuned trailing or ultra-tight SLs can trigger slippage flags.
- News trading: Many firms dislike event-spike exploitation — keep News Filter ON.
- Lot sizing: Keep risk small (≤0.5% per trade) to respect daily DD limits.
Troubleshooting
- “Trade disabled” or no entries? =>Session or news filter may be blocking. Check the Experts tab logs.
- Frequent small losses? =>Widen SL via ATR or use H1 timeframe to reduce noise.
- Large slippage on gold? =>Use a faster VPS, or switch to a lower-spread broker at liquid hours.
FAQs
Is Dragons Risk Shield EA V1.0 MT4 a martingale or grid bot?
No. It’s strictly non-martingale and non-grid by design.
What’s the minimum deposit?
Start from $200–$300 for FX pairs with 0.5% risk; gold typically needs more margin.
Can it pass a prop challenge?
It’s designed to respect risk, which helps — but no EA can guarantee passing. Use conservative settings.
Do I need a VPS?
Strongly recommended for stability and execution speed.
Can I run multiple pairs?
Yes, but start with one pair, then scale cautiously; set MaxOpenTrades conservatively.
Support & Disclaimer
If you need help with installation, optimization, or settings hygiene, reach out to your usual channel/community. Remember: past performance is not indicative of future results. Always forward-test on demo first and never risk money you can’t afford to lose.
Call to Action
Want a safer, rules-first approach to automation? Set up Dragons Risk Shield EA V1.0 MT4 on demo today, run it through your routine, and feel the difference of capital-first trading. When you’re comfortable with the flow, go live with conservative risk — let the guardrails do their job while you focus on consistency.
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