Spread and news filters: the two EA inputs that save scalpers

Why spread and news filters matter for MT5 scalping EAs, how to set sensible values, and how to test them in the Strategy Tester.

Where scalpers really lose

A scalper's edge is often a few points per trade. Spreads can widen several times over at rollover, at session opens and around scheduled news, and one badly timed entry can erase a week of small wins. The two cheapest protections are a spread filter and a news filter.

Setting a spread filter

Find the symbol's typical spread during the hours the EA trades (MT5's Market Watch shows it live, and real-tick test data shows it historically). Set the EA's maximum spread slightly above that typical value, not at an arbitrary large number. Then test: with real ticks, the tester uses the recorded spreads, so the filter's effect shows up in the trade count and results.

Setting a news filter

Pause entries for a window around high-impact releases for the currencies you trade. 15–30 minutes before and after is a common starting point. The Algo Dispensary Week ahead post lists the high-impact events and their consensus forecast every Sunday.

Test with and without

Run the same period twice, once with the filters on and once off. If the EA only works with the filters off, it was probably making money from spread assumptions the live market won't give you.

Questions

Does the Strategy Tester model news spikes?: With real-tick data it replays the recorded spreads and prices, including news spikes, but not every live-execution effect such as requotes.
What if my EA has no spread filter?: Run it only in hours with stable spreads, and add an account-level equity guard.

Put it into practice. Algo Dispensary drops VERUM-screened MT5 EAs every weekday and runs a weekly testing challenge. Members get Vidette, our equity-guard EA, free.

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