Updated by Arjun Ram on Dec 15, 2020

Forex Trading

Most Forex traders, robots and signals use grid or some form of martingale to provide the feeling of winning regularly - this is a sure fire way of blowing your account and is nothing short of gambling. One of the best trading strategies following the correct trading principles is iProfit Forex Trading Robot and Signal service provided by Phibase Technologies.

iProfit HFT : Neural Network Powered MT4 EA

iProfit is a MT4 EA powered by a self-contained, self-learning Neural Network Strategy. Discover how this Forex EA helps you trade profitably over the long term.

Gambling vs Trading : The Fine Line

Simply put, when money is placed on a bet that has a negative expected value, is called gambling. At times, a gambler might get lucky and make a fortune – but in most cases, this would be an unexpected and non-frequent event. Placing these bets many times will lead to long term losses.

Trading requires establishing a set of rules and testing those rules over a large number of trades to determine the expected value of the trading strategy. Trading has a positive expected value.

Trading should be treated and executed like any normal business transaction – Investing a certain amount of capital with an acceptable risk for a duration of time to derive a profit.

iProfit Forex Robot (MT4 EA) : Strategy and Trading Style

The EA trades pairs with different correlations : EURUSD, EURJPY, GOLD, GBPUSD and AUDUSD. The system has a positive risk reward with win-rate of 60%. Average gains is +25 pips and average loss is -27 pips. The real trading history data is perfectly in tune with the 13 year tick-data back-test results provided by the vendor.

Trades are always executed at market price (No limit or stop orders are placed). The stop-loss of -120 pips and target price of +120 pips is set immediately after the order is placed. Geometric money management used by iProfit EA ensures that the maximum equity at risk on any particular trade is always limited to the risk set by the trader (for example : 2% per trade). Trade size is increased when the account size grows and trade size is lowered if there is a drop in the account balance. This money management system is widely used and recommended by many trading professionals since it ensures there is no possibility of blowing the account under any circumstances.

Risk of Ruin analysis shows that there is less than 0.01% probability that the EA would lose 50% of the capital – For this to happen, it would require about 188 consecutive losses. Maximum consecutive losses seen in last six years is 15 (Maximum consecutive wins is 14).

iProfit runs on five pairs, so sometimes it is possible to have up to five open positions at the same time – The EA opens one trade per symbol. There is no grid or martingale position sizing methods involved.