His strategy is easy: open 3 identical positions in any trend and then keep them until the last “otherwise will ruin the stats”
My fourth week in forex trading was awesome, if I don’t consider that, due to the spread between AAAFx and FXDD, my reverse signals gave me a 30 euros loss instead making 10 euros.
So, I just disabled every signal that is using FXDD, probably I will open another one with FXDD to reduce slippage and those damages that spread can do.
The graph is still good, because I did not close that orphan trades… I hope in a recover…
I found a nice signal based on a “losing” MetaTrader 4 Expert Advisor. That “flawed” expert advisor makes orders that will fail 93% of the times and with a tight stop loss and big take profit, is losing a lot of money.
ZuluTrade has an option to reverse, and in this case it’s really appropriate: 7% of loss with tight take profit can be a profitable idea.
Unfortunately, as I discovered just now, the spread in buy/sell rates, did not let me meet the take profit point, giving me a 40 pips loss instead of the 15 pips profit. And I was there when I noticed that: it was on +13, but I was greedy and I did not close the position manually, I just waited to get the 2 extra pips.
Last friday I was worried about 6 microlots of eur/usd that were opened against the trend.
Then monday morning it was almost on par.
I did not miss the chance and I immediately changed the take profit values for the three positions. Even if I could end at +48 pips (about 7 euros), I saw that the situation was like in a rollercoaster; so I preferred to be safer than sorry and put crescent values, closing at 35 pips (about 5 euro).
If I didn’t close that position by myself, the signal would have close them at 7 pips each. Risking 80 euros to gain 5, is priceless…
This week has closed with a total profit of 666 pips.
Even if yesterday Gold FX Max has bought against the trend, this week was very promising:
Update 21st november 2011: Gold Max FX is recovering!
Ugh!! GOLD MAX FX has bought the dollar at 1.345 when it’s trending on the opposite way! How will this end??
I just got an email from ZuluTrade: with immediate effect (but it is legal to unilaterally change the contract without notice?) Signal providers will get the money from the commission only if at the end of the month have a positive balance.
In theory this should discourage the bad SP, but in practice this will hit those “loser” SP with badly programmed expert advisor.
For example, I follow a SP with a win percentage of 7%. Just tell ZuluTrade to do the opposite, and that 7% of victory, is transformed into a stunning 93%!
Will they continue to send the signals without a financial incentive?
I doubt it…
I am the second week of the experiment.
This week was a bit weak. A signal provider become “crazy” on Tuesday and Thursday. Fortunately, other SPs have compensated fully and, on average, did not go so bad
The other day I was worried about what would happen to hold a position open over the weekend.
I worried for nothing: on Monday, at the re-opening of the market, it was successful.
Since I wasn’t 100% sure that the broker didn’t take any commission, I went to see the statement.
AAAFX has a complicated formula to calculate the commission:
Swap = [lot size * (buying rate – selling rate)] / (365 * price)
What do this means? That for the weekend they took away 0.04 pips, not so much.