Recently I came across a new fully automated trading technology called Forex Scalping. Honestly, the name of the system itself tells us immediately about the main capacity and goals of the forex robot. Scalping is a trading strategy geared toward attaining many profits on minor price changes in the shortest amount of trading time M5, M10, M15 etc. The very first thing that jumps out on you as you open the website is the red design which kind of allerts about how powerful and profitable the system is. The next small thing, I would call that, DECOY, that developers use to attract new customers is their loud tagline “Make millions fully automated”. At first sight, who doesn’t want to be a millionaire, and the second thought, that crawls through your mind, is that the technology might be a scam, as who promises such unbelievable numbers investing a little sum of money, right?
I genuinely liked all the intel and results they listed on the main website, but still I wasn’t that impetuous to purchase the product until I get more familiar with the system. Although if you scroll down the whole page you may read the following:
So, in this post, I am going to speculate on advantages and dissadvantages of Forex Scalping EA and expresss my own opinion regarding the realibility and integrity of the presented system.
As far as I gathered, the sole problem, as with most scalpers, is the sensitivity of the trading system – the average pips per trade are at modest 2.2, which is way below the 5 level that they promise to customers. The system is very sensitive to sudden market changes, spreads and slippage. You should be very careful when picking a broker for this EA.
It should be noted that the installation of a product requires an additional assistance as there are so many configurations one can easily puzzle himself, so 5 minutes as they state may prolong to 50. The constant updating the developers upload may consume more of your money, despite the fact that it is said to be free. If your product is not updated till the newest version, you won’t get any profit to your available balance.
Moving along, let’s consider the setting you are to make before the scalping robot begins the work for you. You will have to figure out the right setting for different brokers, as they act differently. Here occurs lots of new entanglements, unless you’re a proffessional and relish all the teeny details on setting and correctly building new trading strategy. Just take a look at the following setting box:
So, indeed, as they claim on the main page:
If you are a busy person and prefer the actual robot to do all the work for you, including all the settings, parameters, scales, limits of your transactions and all other customization stuff, then this presented technology is not for you. There are other better automated Forex robots that don’t demand any of your efforts and time to make a buck.
The advantage of the Forex Scalping technology is that there’s no minimum investment, so if you invest 100$ you may still trade, but the profit you gonna get is misery. So, you’ll get higher and higher, what developers actually want you to, but there’s no guarantee that you won’t lose your money.
As previously mentioned, the Scalping technology is very vulnerable and fluctuates its winning rates drastically. Take a look at the next graph:
For instance, if you do win money one month, so the next you may lose not only your profit but the initial investment as well. It is a risky step to take, but if you like gambling and adrenaline then it’s worth the shot.
To deduce all the facts above mentioned, I wouldn’t recommend the Forex Scalping, because I do impugn its validity and profitability. I reckon that’s quite a perilous technology, only for those who by risking everything wants to earn billions.