The system claims to be able to have an average return of 5-15% per month with a maximum temporary draw down of about 25% of the balance on default settings. And that the 25% maximum drawdown is the “worst case scenario”.  Usually a temporary 10% drawdown will be encountered most of the time.

On average, the EA can open up to 2 orders per day depending on the settings which will be further highlighted in this review later. Each opened trade might last a few days depending on the trend condition before closing. Backtest could not be done on our side as results produced were inaccurate and we will be focusing on forward test result more.

This EA other than being an automated strategy also is an semi-automated EA with options for user to choose especially setting the trend for the EA to trade which allows the user to have his say in where he thinks the trend is heading. In the automated mode, the trend is automatically identified by the EA.

Reviewed on : 5th October 2010
EA Type: GridTrading System
Trade : GBP/USD, USD/Jpy (on any timeframe)
Price: $ 147
Payment Processed by Clickbank and comes with a 60 day Money back Guarantee Full Refund

Backtest

The people at Forex Crescendo used Dukascopy data to generate their backtest result as the EA is trading on multi-currencies and MT4 is unable to perform such a backtest. They also said that the data from the MT4 platform are poor and will not be able to have a reliable backtest for Crescendo. So for us here at FX EA Review will be focusing more on the forward test to tell us the story.  So we analyze what Forex Crescendo had provided for us:

Summary of Backtest and Forward Result provided from Crescendo Team

Trade Analysis (based on Backtest Result):

Order Type: Market Order
Take Profit : Depending on user initial account balance and lot size set
Stop Loss: No stop loss but comes with a maximum total drawdown parameter that user can set
Trading time:  Depending on the frequency parameter user has set for EA to check for trade conditions; trade can last from few hours to days
Maximal Drawdown per year:  below 20%
Profitable Trades: 72%
ROI : Max Drawdown = 4 : 1

Money Management

Forex Crescendo EA allows system user to trade with a fixed lot (0.01 lot for every $1000 deposited) or specifying the % to risk based on user available equity value.  Another feature is the max_total_DD parameter for user to adjust the maximum drawdown loss on actual balance before closing of all the orders for all pairs.According to the creators, the strategy is recommended to trade at its default settings with a few tweaks to maximize its potential.

Ease of Use

It includes a easy-to-understand setup manual. It explains EA installation, parameters and recommended settings.
You will be able to watch videos on their members’ portal.

Parameter to Set:

username – your email which bought this software

password – clickbank receipt code

initial_balance – user initial deposit

order_step – The minimum amount of pips between last open order and the current one. Used by Crescendo to open a new order

target_profit – Target profit in terms of dollars. This target will be based on the initial_balance value and the lot size keyed in (eg. $1000 account with 0.01 lots will have a setting of  target_profit of $4, $10000 with 0.1 is $40 and so on)

frequency – This is to allow Crescendo to check if the conditions to open new trades have been met at a certain number of intervals specified by the user.

manual_trend – this parameter allows user to set to true if they want to force the EA to open trades in specific direction to be determined by user. If set to false, EA will open trades using its own internal judgement

trend_direction – Allows user to only determine their own trend direction based on their own analysis but trading with Crescendo strategy

lot_size – lot size used to opening of trades. Suggested lot size is 0.01 for every $1000 in account (fixed lots)

risk_percent – if user want  lot size to adjust accordingly to available equity value, user can change the setting to non zero value

max_total_DD – % that is the maximum loss of the actual balance that user can tolerate before EA start to close all orders for all pairs

slippage – maximum deviation user  will allow for price that EA is using to open order and the price the broker is giving to open the order

Forward Test

Our forward test will be using the default settings of Crescendo with initial deposit of $10000.

GBP/USD

GBP/JPY

Weakesses (if Any)

The only thing right now is the time period of drawdown that the user may encounter using a grid trading strategy and without a stop loss. The fact that if the user has indicated the max_total_DD, there shouldn’t be any problem unless the user is uncomfortable with the default drawdown set on default which is 30%.

Conclusion

This EA seems promising with a far better result from the creators live result compared to its backtest result and the claim of being able to have steady ROI each month with low drawdowns encountered.

The introduction of proper money management in a fully automated EA system especially in a grid trading system is a important move and we are glad that it gives users more control of their money they are trading on EA.

If our 3 months forward test somehow do matches with what Forex Crescendo has claimed it to be,  then this might be the EA that will stay for a very long time.

8/10

Regards,

Charlie

Share This Page:

It is observed from our backtest settings that not a single stop loss was hit by trades executed with Forex BulletProof EA from the period 2007-2010 . Trading with Usd/Jpy seems to show a very stable return on a per year basis but it trades very conservatively. Eur/Usd backtest results shows a higher return on a per year basis and trades with higher degree of risk. Fapturbo Steve advises that user trades with this two currency charts simultaneously.

Reviewed on : 8th September 2010
EA Type: GridTrading System
Trade : Eur/Usd, Usd/Jpy (1min chart  )
Price: $ 147( purchased through their affiliate link)
Payment Processed by Clickbank and comes with a 60 day Money back Guarantee Full Refund

Some facts about the trading system from the creators

The robot’s trading hours and days are carefully selected based on the time zone differences between the closing and opening times of stock exchanges in different parts of the world. That’s why the robot is always overall in profit no matter what the current situation on the market is.

Once the trading hours come, a trading cycle commences and progresses by doubling the lot every 10 pips of the downward price movement and closes as soon as >35% of the trades in it hit Take Profit or as soon as its overall balance reaches zero after midnight GMT (should the cycle remain open past midnight GMT). The cycle will not be progressing endlessly because of the marginal leverage limits, bringing the maximal number of trades to be opened in a row to six on a 1:500 marginal leverage account (the biggest available with online Forex brokers) before the market reverses to some extent (which it does after these hours, since a correction is imminent even in the event of a drastic market fall). Once a trade along the cycle’s way at any of its levels closes, the next level trade in the cycle is to be opened after 20 pips down instead of 10.

Moreover, the robot is capable of re-adjusting to the changing market conditions. Should the market suddenly become too volatile (and therefore, too risky to trade), the volatility filter will intervene and take the robot to an early exit. The bot also adjusts automatically to the conditions of a specific brokerage, being compatible with both the instant execution brokers and the market execution ones.

If a news release suddenly hits the market and a broker drastically increases its spread in response, Forex BulletProof recognizes it and automatically cuts the starting lot size for its trading cycles. Once the spread is back to normal, trading with the standard starting lot size resumes. This aspect prevents the robot from being unable to close the cycle of time because of the suddenly increased spread.

Note: The backtest period are carefully selected especially for Eur/Usd. This is because you will observe that forex bulletproof  hit margin call on certain dates during backtesting. The reason is because the volatility indicator in Forex BulletProof will not have work correctly due to the backtesting conditions. To be more specific, the bid-ask spread is constant throughout the backtest.

As a result, in-built volatility indicator will not close trades like it will do in normal live conditions. Hence, we will observe that some trades aren’t closed in backtest and account eventually hit margin call. Trades entered by the EA will close on the same day as described above by the Forex Bullet Proof creators.

Backtest generated with Alpari Uk

Initial Deposit: US $10,000
AdaptLots: True
All default settings

Backtest analysis of various currency pairs

Eur/Usd

September 2009 - May 2010
ROI: 81%
Max Drawdown: 55%

Jan 2008 - May 2009
ROI: 245%
Max Drawdown: 69%

Order Type: Market Order, Pending Order
Take Profit : 7 pip
Stop Loss: 500 pip
Trading time: 0600-1100hrs (Gmt )

Maximal Drawdown per year: 55-70% per year
Profitable Trades: 60-70%
Average Profitable Trades = Average Losing Trades
ROI : Max Drawdown = 2 : 1  (ratio average of 2 years)

For every 1 dollar drawdown experience, user is expecting a 2 dollar in return.

Slightly more aggressive than trading Usd/Jpy. Can be observed with the high maximal drawdown.

Usd/Jpy

2 year period from September 2008 to September 2010

ROI : 16% (2 year)

Jan 2009 – Jan 2010
ROI: 10%
Max Drawdown: 6%

Jan 2008 – Jan 2009
ROI : 10% per year
Max Drawdown: 15%

Order Type: Market Order, Pending Order
Take Profit : 7 pip
Stop Loss: 500 pip
Trading time: 1700-2000hrs (Gmt )

Maximal Drawdown per year: below 20%
Profitable Trades: 60-70%
Average Profitable Trades = Average Losing Trades
ROI : Max Drawdown = 1 : 1  (ratio average of 2 years)

Money Management

Forex Bullet Proof EA allows system user to trade with a fixed lot or use its’ own adaptivelot settings to scale up contract size when necessary.  According to the creators, the strategy will trade at a conservative lot sizing so that profits can be retained.

Ease of Use

It includes a easy-to-understand setup manual. It explains EA installation, parameters.  You will be able to watch video on their members’ portal.

Parameter to Set:

EURUSDLots – The base lot value for accounts with deposits above $4000 on the EURUSD currency pair.

USDJPYLots – The base lot value on the USDJPY currency pair.

EURUSDLiteLots – The base lot value for accounts with deposits between 450$ and 4000$. If AdaptLots is set to true, the current lot size will be increased by this value for every 450$ earned until the account balance reaches $4000.

AdaptLots – If set to True (default), the robot uses its built-in Money Management system, which will set the trading lot size according to your current deposit size. The Bullet Proof money management will add an additional base lot specified in the EURUSDLots and USDJPYLots field to the current lot size for every additional $4000 on the account balance. For EURUSD, when your account balance is lower than $4000, AdaptLots will use EURUSDLiteLots as the base lot value which will be increased by this value for every $450 until the account balance reaches $4000. If it is set to False, it will automatically revert to the fixed lot size specified in the EURUSDLots or EURUSDLiteLots field depending on account balance (or in the USDJPYLots field if the robot is attached to the USDJPY currency chart).

AutoGmtoffset: Enabled (Default)

Receipt Code

For validation purpose, to prevent software piracy.

Backtest comparison with forward test)

Our forward test will use same settings and conditions that of our backtest settings.

Initial Deposit: US $10,000

Forward Test

EURUSD M1

USDJPY M1

It is your duty to first verify our backtest analysis with our forward test before trading live with your own money

Weakesses (if Any)

Yet to find any.

Conclusion

• Some forms of money management although not easy for beginner but can be understood.
• ROI : Max Drawdown  has a good ratio with 2 : 1
• Easy to trade with system
• Honest results, salespage results resembled our generated results.
• Affordable price

Our backtest results showed the same as Forex BulletProof vendor’s backtest results.  And our observation from backtests showed that achieving a consistent 5% per month return is possible with this system. Trading system provides risk management options for the advanced users.

Using adaptive lot sizing is an interesting way to trade the forex market. We have not seen this strategy before. This trading system contains element of fundamentals and combined with an unique entry methods makes overall this system above most of the systems in the market.

If our 3 months of forward tests show positive results like what the owners have described, another 1- 2 scores will be added to the system.

7/10

Regards,

Warren Seah

Share This Page:

Robominer is a grid trading robot. It works in the theory that using prudent money management, no matter what the price went to in its historical operating range, the trader using this strategy will not ever get a margin call. This is achieved by limiting the contract size of the investments to a small percentage of the equity balance.

Types of Robot : Grid Trading Robot

Broker Platform : Metatrader 4 (Work on both 4th and 5th decimal brokers)

Back-test and Forward Test Generated : Alpari UK

Price : $497 (one time payment) or $39.99 recurring monthly subscription

Refundable: No, it allow demo testing by registering with their website prior to purchase

Pair: Aud/Nzd and Eur/Chf

1. Money Management

It is unique in its way because money management is calculated by balance factor in this strategy. In its default setting, every $4,000 in your equity, the robot will add 0.01 volume (1 micro lot). If you have an account size of $10,000, you will start trading with 2 micro lot.

he idea for this strategy is regardless of what how much the price moves, the trader will not ever meet a margin call. This explains for the very small contract size traded.

You can specify the balance factor, but by entering how much dollar to a micro lot. That is if you specify 3000, that will be for every 3000 , the strategy will trade with 1 more micro lot.

2. Drawdown

The Back tested results showed a maximal drawdown of not more than 20% the past 4 years. Positions are entered only with a fixed take profit levels. They will only be closed if their take profit levels are achieved.

Most of the drawdown are paper loss, that is loss will only be realized if positions are closed. Hence, drawdown stated in this strategy is usually not reliable because we could not predict how much paper loss the system will generate during times when it has 10 opened trades lying for a few months and price facing the potential of breaking its historical extremes.

Trade Analysis

Order Type = Market Order

Take Profit = 40 pip ( Eur/Chf)

Stop Loss = N/A (Grid Trading does not trade with a stop loss)

3. Ease of Use

Most of the parameters are explained in the manual provided. Strategy provides a certain level of optimization. However, for those who have dealing first time with a grid trading robot will feel overwhelm. Luckily for this group of traders, you can simply trade with default conservative settings.

4. Honest Result

There isn’t much to compare between backtested and forward test results. Profitable closed trades are the only results you can see. There is also the floating profit you will want to take special attention at the forward tests.

Click Here For Robominer Back Test Results

Click Here To View Forward Tests Results

5. Other Features

Parameters to Take Note (Optional)

Balance FactorFIFO (if NFA regulated)

Stealth Mode

Allow Internal Close (Can be enabled to close position before take profit level is met)

EmergencyCloseAllTrades (Only use this during emergency when decided to switch broker or nearing margin call)

6. Weaknesses (If Any)

- At least $10,000 should be Invested

This strategy should be traded with account more than US $10,000. More money invested to trade with this strategy will increases the probability of achieving a annual return of 33% ROI.

- Select Brokers that Offer Micro Lots Only

Choose brokers that allow trading with micro lots.

- Floating Loss

Accumulated positions may reflect a huge floating paper loss. User must be able to withstand paper loss as system is shown to withstand and close them with profits.

- Difficult to Backtest

Generating 1 year backtest took our team more than 1- 2 hours. It takes a lot of computer resources and 1 backtest can only be done at a time.

7. Support

Provide demo testing before you buy. Support consists of forum. Provide quarterly updates.

Summary

We forward tested trading Eur/Chf with this strategy. We choose Eur/Chf instead of Aud/Nzd because Eur/Chf has a lower spreads than Aud/Nzd. This strategy works extremely well for people who have a lump sum and are concerned about taking too much risk and short term volatility in the markets.

According to the owners, they stated that strategy will bring at least 30% or more per annum. Back tests showed the past 3 years brought in at average 30% ROI per annum. If proven true by forward test, these results beats the inflation by a big fat margin and is a very good investment compare to those you find at the banks.

For investors with small start up capital, it will clearly not be as beneficial to use this system. This is because for one to maximise the full potential of this system, users has to use it over the long term and to start with a considerable amount of capital to reap the full rewards.

If used over the long term, system will bring in small and consistent profits with minimal risk.

Rating

7/10

Warren Seah

Update

Update : 30th Nov 2009

Our demo account was disabled by the broker. It is because robominer EA hasn’t placed any trade in the past 30 days. The above data is a new account and a fresh record will be taken from here.

Update 23th Dec 2009

We are looking forward to better results as we allow more time for Robominer to trade on its own.  Trading will stop on Christmas day and resume soon.

Share This Page: