USER GUIDE
1. What is the Zone Recovery Hedging Mechanism
Imagine using a trading system that’s built not to lose — a strategy designed to recover every losing trade and close in profit. Sounds impossible? Not anymore.
The AZ Trade Recovery Assistant introduces an advanced Zone Recovery Hedging Mechanism (ZRH) — a smart, automated approach that turns potential drawdowns into profit. This strategy is based on a professional-grade hedging technique known as the Zone Recovery Algorithm or the Surefire Forex Hedging Strategy.
Unlike traditional trading where a Stop Loss locks in a loss, this system uses counter-trades (hedging) to neutralize the drawdown and shift the overall result back into profit. The assistant opens opposite-direction trades with adjusted lot sizes whenever the price moves against your initial position, creating a recovery zone where both sides of the market can lead to a profitable outcome.
⚙️ How the Recovery Mechanism Works
Let’s look at a simple example:
- You open a Buy trade (0.01 lot) with a Take Profit = 300 points and a Recovery Gap = 200 points.
- Instead of placing a Stop Loss, the assistant sets a Sell pending order 200 points below your entry to hedge the position if price moves down.
Now two outcomes are possible:
- Price Moves Up → The Take Profit is reached, and the trade closes in profit.
- Price Moves Down → The pending Sell order activates (hedge position opens). A new Take Profit level is calculated for both trades, ensuring that when price returns within the recovery zone, both positions close with a combined profit.
This process continues automatically with each change in market direction — building a chain of hedged trades that collectively close only when the total result is positive.
💡 Why It Works
The Zone Recovery system replaces Stop Losses with dynamic hedging logic. Instead of taking a fixed loss, the assistant manages the exposure intelligently using lot multipliers and recovery distance calculations. Once price reaches either side of the defined zone, all trades are closed together in net profit — regardless of whether the market went up or down.
This makes AZ Trade Recovery Assistant ideal for volatile or choppy markets, where direction is uncertain but movement is guaranteed.
🌟 Key Benefits
- Always targets profit — no Stop Loss required.
- Converts losing trades into profitable outcomes automatically.
- Uses an advanced hedging algorithm (not simple martingale).
- Includes built-in trade management: Take Profit, Trailing Stop, and Break Even functions.
- Optimized for low-spread, low-slippage brokers.
⚠️ Important Notes for Best Results
- Avoid sideways or flat markets — use during active trading sessions.
- Choose a trending or volatile market for the initial trade.
- Set recovery distance and lot sizes carefully to prevent margin exhaustion.
- Use a broker that supports hedging and offers tight spreads.
- Always test your configuration in the Strategy Tester before going live.
2. Key Definitions
Understanding these key terms will help you operate the AZ Trade Recovery Assistant more efficiently and make sense of how the recovery logic functions during a trading cycle.
🟩 Initial Trade
The initial trade is the very first order placed by the trader or through the panel. Its outcome — profit or loss — determines whether the Zone Recovery Hedging mechanism will be activated. Until recovery begins, this phase is referred to as the Initial Mode.
🟦 Grid Trade
If Grid Trading is enabled and the initial position moves into loss, the assistant will first attempt to compensate using a series of grid orders placed at predefined intervals. If this grid sequence cannot recover the drawdown, the system will automatically transition to the Zone Recovery phase to restore profitability.
🟧 Hedge Trade
A Hedge Trade (also called a Recovery Trade) is an opposite-direction order opened by the assistant to neutralize the loss from an existing position. For example, if there is an open BUY, the system places a SELL at a calculated distance and with an adjusted lot size to create a recovery zone.
🟨 Hedge Mode
Once the first recovery (hedge) order is triggered, the assistant switches to Hedge Mode. In this mode, all subsequent calculations — including recovery distance, lot sizing, and combined Take Profit — are controlled by the Zone Recovery algorithm.
🟪 Cycle
A Cycle refers to one complete trading sequence consisting of the initial trade, any grid trades, and the hedge (recovery) trades. Each cycle ends only when all open positions are closed together in net profit, completing the recovery process.
3. Input Parameters
1. PANEL SETTING
This section controls the on-chart trading panel, which allows you to manually open and manage trades directly from your chart. Each position opened from this panel is treated as an Initial Trade. If you open multiple initial trades, the EA will automatically manage each trade’s Grid and Recovery (Hedging) process independently, ensuring every trade cycle operates separately.
- List of Magic Numbers Separate by “;” – You can enter multiple Magic Numbers separated by a semicolon (“;”). These numbers appear in the panel’s dropdown box, allowing you to switch between them before opening a trade. Each Magic Number helps the EA identify and manage trades from different strategies or pairs independently.
- Active Multi-Pair Trading: When this option is turned On, the trading panel will display a symbol selector where you can choose different currency pairs directly from the chart. If it’s set to Off, the EA will trade only the chart’s current pair. This feature is useful for traders who want to manage multiple pairs from one panel.
- List of Pair Separate by “;”: Here you can define all the pairs that should appear in the panel’s dropdown menu. Enter the names separated by semicolons (for example: EURUSD;GBPUSD;USDJPY). If your broker uses prefixes or suffixes (like “EURUSD.m” or “EURUSD_i”), make sure to write them exactly as they appear in the Market Watch window.
- Trade Comment: Trade Comment
- Unique Number: A unique internal identifier used by the EA to track its trades. If you attach multiple panels on the same symbol with different settings (for example, two EURUSD charts), make sure each one has a different Unique Number. Using identical numbers on multiple panels may cause the EA to manage trades incorrectly.
- TakeProfit Type For Initial: Defines the Take Profit calculation method for initial trades. You can select In Points, which means TP is a fixed distance (in points) from the entry price, or In Currency, which means the TP is based on a profit value in your account currency.
- TP Value For Initial (Points/Currency): This sets the default Take Profit value for the initial trades. If the TP field in the panel is empty or set to zero, the EA will use this input as the default TP. If you manually enter a value into the panel, that input will override this default setting.
2. GRID TRADE SETTING
The Grid System allows the assistant to open multiple trades in the same direction before the recovery mechanism (hedging) begins. This feature gives your initial trade more flexibility — providing additional opportunities to recover through profit before entering the Zone Recovery phase.
In simple terms, Grid Mode means opening several trades in one direction (either all BUY or all SELL). This can be done automatically by the EA or manually by the trader. The assistant then treats these trades as part of the same group and manages them together within one recovery cycle.
⚙️ How Grid Mode Works
When Grid Mode is active, the EA continuously opens new trades at predefined price gaps whenever the market moves against your initial position.
The idea is to improve the average entry price, so when the market reverses even slightly, the entire grid group can close in profit — without activating the Zone Recovery Hedging yet.
If multiple trades are already open (either manually or by another EA), AZ Trade Recovery Assistant can also detect and manage them as a grid, provided all the trades are in the same direction.
📘 Rules of Grid Mode
- All grid trades must be in the same direction — either all BUY or all SELL.
- The average open price of all grid trades is used to determine the overall Take Profit. Once the average position reaches the target, all grid trades close together in profit.
- The last opened trade in the grid acts as the base level for the recovery zone. If the market continues further against your grid, the EA will then activate the Zone Recovery Hedging mechanism using that price as reference.
- Total Lots size of Grid trade count as initial lots size before goto hedge.
⚙️ Input Parameters
- Active Grids: Enable or disable grid trading mode. When set to “On”, the EA will automatically open additional trades according to your grid setup.
- Number of Grid Trades (0 = Disabled): Defines how many grid trades can be opened after the initial trade. If set to 0, grid trading is disabled.
- Grid GAP Type: Select how the distance between grid trades is calculated. You can choose between Fixed Distance or Custom Distance.
- Grid GAP (Points): Used when the GAP Type is Fixed Distance. This value defines how many points the market must move against your position before a new grid trade opens.
- Custom Grid GAP (Points): Used when the GAP Type is Custom Distance. You can set individual grid gaps separated by semicolons (;). For example, if you set NumberOfGrids = 3 and Custom Grid GAP = 150;200;300, then the 1st grid trade opens after 150 points, the 2nd after 200 points, and the 3rd after 300 points.
- Grid Lots Type: Select the lot calculation method for grid trades. Available options include Multiplier Lots and Custom Lots.
- Grid Lots Multiplier: If Multiplier Lots is selected, each new grid trade’s lot size will be multiplied by this factor compared to the previous trade.
- Custom Grid Lots: If Custom Lots is selected, specify each grid lot size individually, separated by semicolons (;). For example: 0.01;0.02;0.03;0.05.
💡 Example
If your initial trade is 0.01 lots and Grid Lots Multiplier = 2, the next trades will be 0.02, 0.04, and so on. When the market retraces back toward the average price, all grid trades will close together in profit.
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