Profit #1

As of 22 February 2010, after 28 weeks of trading, Profit #1 has these statistics to show for:

  • ROI: 3,500+%
  • Profit: 1.99M pips
  • Trades: 4,766
  • Winning Trades: 4,630
  • Winning Percentage: 97%
  • Maximum Drawdown: 521,800 pips
  • Average Pips Per Trade: 418.1 pips

Click here if you want to view his complete trading records.

It should be important to note that Profit #1 trades using an Expert Advisor (EA). For forex investors who prefer the purely automatic and mechanical type of trading which takes away the emotional factor when the market becomes extremely volatile, Profit #1 may be the perfect trader for you. He utilizes the use of a trading robot where he has consistently used in his forex trading.

With a 97% winning percentage for his trades, Profit #1 maximizes the long-term trends of currency pairs by applying multiple positions with short profit targets and wide stoplosses to allow for market swingbacks. His trades are mostly concentrated on the EUR/USD pair. Each position has 5 steps going to the next position that he takes. This allows him to compound the effect of a currency movement and maximizes the trend direction taken by the currency pairs.

This type of aggressive trading and mechanical placement of positions allow Profit #1 to amass pips consistently. Although this has also been responsible for the massive drawdown the he has suffered in his trading. Percentage-wise, this large absolute amount in pips of drawdown that Profit #1 has acquired is equivalent to 26% of his capital. It certainly qualifies his trading as a high-risk, albeit high reward as evidenced by his extremely high ROI of more than 3,500%.

Profit #1’s strategy works well with the currency pairs that he has chosen. The long term trends of certain currencies have assured his strategy a continuous flow of pips of the positive side. Although drawdowns may be a cause of worry for some forex investors who looks to him as a potential forex signal provider, it should be noted that this can be easily remedied by controlling the amount of capital that shall be exposed with Profit #1’s trading.

A controlled capital management can give a conservative forex investor the peace of mind that his capital shall not be eroded with the EA’s aggressive algorithm. This is the secret in almost all types of effective strategies which take an uncomfortable amount of risk. Limit the number of lots that the forex expert can open and you shall be able to temper the aggressive positions taken by the mechanical trading robot.

Just imagine if you limit the exposure to just 10%, you effectively reduce the drawdown by 90%, and of course, also the ROI by 90%. But is 10% of a 3,500+% ROI really that bad for 28 weeks of trading? Some forex traders would do anything to achieve even half of that profitability.

Try our Profit #1’s effective EA on a demo account and examine for yourself how you can achieve lucrative profitability while limiting the drawdown of this very effective strategy. Work out on the best possible combination of capital exposure and lot openings that you should allow for Profit #1 with you level of capital. Finding that optimal level is the key with this type of a strategy.