Thread: Forex Derivative

i back tested it on EURUSD Alpari - good result. But forward tests are bad

Forward test on 5K account default recommended settings, recommended broker - first got into good profit like +1K. It did hold for few hours, then started loosing and after a week about -$1000 negative and getting worse. Trades a lot on 4 pairs, currently 6 trades open, totaling -$125 loss. Trades a lot and not at all profitable, doesn't lock trades when they get into profit zone and looses at the end.
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Another sales pitch. We witness evolution of story telling, not the trading code.
Garbage, i returned it.
Don't waste time
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Also take back testing with a grain of salt. MT4 testing engine isn't reliable. Try to forward test any system for 2-3 weeks, then back test same system, with same setting on the same data, same period - you will get different results - that does resemble forward test, yet different. More complex the system - greater is back/forward test difference. Optimization does work, but is more of an art. For best results collect real tick data 24/5 for last 6 months, optimize on last 6 month and average test results. If EA has lots of variables, be ready for few hours to a day of optimization. Each EA has its optimization pattern and optimization versus forward test pattern.
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Perhaps Some EA designers are fooled by MT4 test engine and design great back testing EAs and poor real life performers. Always forward test New EA. Good EA forward tests better then back test.

on first place customers get fooled by their greed...

Lots of commercial EAs are of poor quality: magic # aren't working, trade context check isn't implemented, order check error isn't implemented, etc.
There is also a black list of faulty functions in MQL4, so it takes an experienced programmer to compensate and work around.
Good and well working EA is a masterpiece. Some free EAs are of much better quality as they were checked and continuously improved by various programmers.

Originally Posted by PyeR2

I can't read mql, however I was directed to this information in another forum by a friend who can.

Quote:
int CheckForTestingModeResult(int ai_0) {
bool li_ret_8;
int l_year_4 = TimeYear(iTime(NULL, PERIOD_M1, 0));
if (ai_0 == 0) {
if (l_year_4 == 2000 || l_year_4 == 2001 || l_year_4 == 2002 || l_year_4 == 2004 || l_year_4 == 2005 || l_year_4 == 2006 || l_year_4 == 2008)
li_ret_8 = TRUE;
else
li_ret_8 = FALSE;
} else {
if (ai_0 == 1) {
if (l_year_4 == 2003 || l_year_4 == 2007 || l_year_4 == 2009) li_ret_8 = TRUE;
else li_ret_8 = FALSE;
} else li_ret_8 = FALSE;
}
return (li_ret_8);
}

This code was found within Forex Derivative mq4 file. What it is doing is calling upon the dll file for yearly optimised parameters, thus when you back-test it you will get a wonderful looking equity curve. Basically it's been curve fitted year by year.
It may continue to work for a while, time will tell - however I doubt you will see anything like the performance you get in your back-tests.
It's unbelievable the lengths the marketeers are going to to deceive purchasers.

good to see my work was already here to warn people.

stay away!!

forward tests have shown this EA to be a big scam!

Forex Derivative EU M1

I bought this EA and demo tested on a 10,000 demo acount. in two and half weeks I lost half my acconut, down to 5000 balance. I then stopped the EA and got my full refund (at least they were truthful about the 60 day refund).
STAY AWAY FROM THIS EA.