Forex Expert Advisors : Fx Equity Builder (FXEB) an unbiased review

A few days ago I noticed that one of my website visitors searched for the “forex equity builder” expert advisor on my blog but he or she couldn’t find it. I had never heard about this fx equity builder trading system so I decided to look out for the website and give this system a review. As always, my intent with this review is to evaluate the claims made by the author’s against the expert advisor’s trading evidence after this and a careful evaluation of how the system trades I will give my opinion about whether this system is worth or not buying and testing.

It was a pleasent surprise for me to find that the fx equity builder website is pretty clean with no hype or unecessary descriptions whatsoever. These people decided to cut it straight to the performance evidence. No marketing tactics are used to get people’s money and the expert advisor’s price is given straight away with no “only 10 copies available” or such common non sense.

Now, regarding the expert’s claims, the only outrageous claim made by the authors refers to the fact that their expert can turn 10 thousand USD into more than 1.6 million dollars in a single year. Again, this claim is made in virtue of backtesting and holds no truth whatsoever to what the system can do in real live trading (at least this has not been proved yet). There is some very limited live testing which has only been up for less than one month.

The next interesting thing about this expert advisor is the way in which it trades. It is what I would call a EUR/CHF scalper using a grid trading system that uses no stop loss whatsoever. In fact, it completely relies on forex mean regression theory. This system is very similar to GT-shadow and robominer, two systems which also use mean regression theory as a way to profit from the forex market. The problem with these systems is that the absence of a stoploss and the rigid nature of the take profit makes the system limit its profits and let its loses run. That is, there is absolutely no cap on the market exposure these systems have.

The extremely sad thing about these trading systems is that they are inherently very dangerous, like system with progressive money management, grid trading systems can make profit for even a few years, only to then have a badly positioned trade in a highly volatile market kill the whole account. It is the nature of having an unlimited market exposure and your entire balance as the draw down limit. If your EA enters a position and then the market trends strongly in the opposite direction without ever reversing you will suffer the consequences. As it is said by several people on online reviews, this EA wipes accounts when backtested for the past several years.

In the light of the inherently uncapped market exposure of this trading system which means that there is no inherent limitation of loses I consider that this system is, as the robominer and gt-shadow expert advisors, not worth buying or testing. If you would like to learn more about automated trading systems that have long term stable profits and limitations of their loses with realistic profit and draw down targets please consider buying my ebook on automated trading or subscribing to my weekly newsletter to receive updates and check the live and demo accounts I am running with several expert advisors. I hope you enjoyed the article !

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