Continuing with the reviewing of automated trading systems that were recently released today I will be writing about a new trading system called Forex Ironman. This expert advisor claims to make a 308% profit in less than 17 months with minimal risk to your trading account. On today's reviewI will analyze the evidence provided by the author of this EA and I will tell you if this evidence is enough to backup the expert advisor's claims of profitability. After this I will also go through the expert's trading evidence and tell you my opinion about the expert's trading tactic and its potential for long term profitability. Finally I will end this review by telling you my opinion about whether or not the Forex Ironman is worth buying and testing.
The Forex Ironman starts its website with some very bold claims of profitability as well as an obvious and unethical breach of Marvel Copyright. I understand that it is a good marketing technique to use a currently "fashionable" name to sell a product but in doing so and using imagery which reminds you of the movie the author is in fact in infringement of copyright laws (at least in the US).
However lets go back to what we care about. The authors of the Forex Ironman then attempt to show us what they call "evidence of profitability", what we have here is a set of backtesting results, partial cuts from backtesting statements and pictures of hand-picked trades which may or may not be a real part of the backtesting results. In reality we have seen many times how expert advisor sellers include pictures of trades that would have been actually never taken by the system just to make it look more profitable or with a better risk to reward ratio.
The backtesting evidence of the Forex Ironman is very limited, with 2 years of backtesting results at most showing us that a very good chunk of backtesting that could have been done from 2000-2008 was avoided for some reason. Why do you think an EA seller would avoid showing some backtesting results ? The absence of backtesting periods usually means that the system under performed under those market conditions or that the data was curve-fitted to show excellent results during the past few years of trading. This means that the system is inherently flawd and has no adaptation to changes in market conditions. Additionally the complete lack of any live testing evidence points to the fact that the creators of this trading system don't trust it enough to use it themselves. Why isn't there an investor-access verified live testing statement ?
The fact is that the Forex Ironman just shows us backtesting results which are probably curve-fitted and unreliable (plus a very unsound 10:1 risk to reward ratio). If the expert was able to adapt to changes in market conditions and succeed under varied markets then the sellers wouldn't have had any problem to show us 10 year backtests and live trading results. It is very important to note here that the absence of live trading results points to the fact that this expert is probably not going to perform in the same way as it does in backtesting. Again, if their system was so good, why wouldn't they test it first ?
Overall the Forex Ironman is just another attempt of the people at Next Generation to sell an overhyped system that lacks any reliable evidence of long term profitability. Backtests can be easily curve fitted and manipulated and therefore live/back testing consistency is always needed to prove the profitability of any trading system. If this people really care about their customers they should show 10 years of backtesting results with an investor-access verified live account. Meanwhile, due to the obvious lack of evidence and what seems to be intentional limitation and fitting of backtesting results, I consider this trading system NOT worth buying and testing. Remember that the burden of proof is always on the EA seller NOT on your live accounts !
If you would like to know more about automated trading and how you too can design reliable systems that can adapt to changes in market conditions please consider buying my ebook on automated trading or joining Asirikuy to receive all ebook purchase benefits, weekly updates, check the live accounts I am running with several expert advisors and get in the road towards long term success in the forex market using automated trading systems. I hope you enjoyed the article !
The Forex Ironman starts its website with some very bold claims of profitability as well as an obvious and unethical breach of Marvel Copyright. I understand that it is a good marketing technique to use a currently "fashionable" name to sell a product but in doing so and using imagery which reminds you of the movie the author is in fact in infringement of copyright laws (at least in the US).
However lets go back to what we care about. The authors of the Forex Ironman then attempt to show us what they call "evidence of profitability", what we have here is a set of backtesting results, partial cuts from backtesting statements and pictures of hand-picked trades which may or may not be a real part of the backtesting results. In reality we have seen many times how expert advisor sellers include pictures of trades that would have been actually never taken by the system just to make it look more profitable or with a better risk to reward ratio.
The backtesting evidence of the Forex Ironman is very limited, with 2 years of backtesting results at most showing us that a very good chunk of backtesting that could have been done from 2000-2008 was avoided for some reason. Why do you think an EA seller would avoid showing some backtesting results ? The absence of backtesting periods usually means that the system under performed under those market conditions or that the data was curve-fitted to show excellent results during the past few years of trading. This means that the system is inherently flawd and has no adaptation to changes in market conditions. Additionally the complete lack of any live testing evidence points to the fact that the creators of this trading system don't trust it enough to use it themselves. Why isn't there an investor-access verified live testing statement ?
The fact is that the Forex Ironman just shows us backtesting results which are probably curve-fitted and unreliable (plus a very unsound 10:1 risk to reward ratio). If the expert was able to adapt to changes in market conditions and succeed under varied markets then the sellers wouldn't have had any problem to show us 10 year backtests and live trading results. It is very important to note here that the absence of live trading results points to the fact that this expert is probably not going to perform in the same way as it does in backtesting. Again, if their system was so good, why wouldn't they test it first ?
Overall the Forex Ironman is just another attempt of the people at Next Generation to sell an overhyped system that lacks any reliable evidence of long term profitability. Backtests can be easily curve fitted and manipulated and therefore live/back testing consistency is always needed to prove the profitability of any trading system. If this people really care about their customers they should show 10 years of backtesting results with an investor-access verified live account. Meanwhile, due to the obvious lack of evidence and what seems to be intentional limitation and fitting of backtesting results, I consider this trading system NOT worth buying and testing. Remember that the burden of proof is always on the EA seller NOT on your live accounts !
If you would like to know more about automated trading and how you too can design reliable systems that can adapt to changes in market conditions please consider buying my ebook on automated trading or joining Asirikuy to receive all ebook purchase benefits, weekly updates, check the live accounts I am running with several expert advisors and get in the road towards long term success in the forex market using automated trading systems. I hope you enjoyed the article !
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