11:15, restate my assumptions: 1. Mathematics is the language of nature. 2. Everything around us can be represented and understood through numbers. 3. If you graph these numbers, patterns emerge. Therefore: There are patterns everywhere in nature.
You're exactly right Steve, this EA will open multiple positions (as many as 9, maybe more) against a trend to try to make up for one initial losing position......and if the positions don't move into profit before a maximum drawdown level is reached, they all close together with a huge loss. Much worse than a martingale IMHO. I was sucker enough to buy this thing and when I tried to backtest it using their recommended settings, it shows that it blows up the account very quicky. I wrote the EA creator about it and here is his response;
as you can read from the manual doing a backtest of the EA is quire useless.. for two reasons...
data quality and for the fact that the strategy works if you test GBPUSD and GBPJPY at the same time.
I use particular tool and data (tick by tick 99% quality) to do that and that how my backtests come out.
Kind Regards, Andrea'
Of course, they don't bother telling you that it can't be backtest in MT4 until after you buy the thing. Who in their right mind would trade an EA that they can't even backtest? This is just another over-hyped SCAM EA. Don't waste your money on this loser.
Now this joker claims that the problem is that I don’t understand money management?..…hahaha!
> From: email@example.com [mailto:firstname.lastname@example.org] On > Behalf Of Forex Crescendo Support > Sent: Wednesday, September 29, 2010 11:36 AM > To: gx@XXXXX.com > Subject: Re: Hi Gxxzx, Forex Crescendo Important Info > > Hi Gxxx, > > I can code an EA that performs incredibly well with the data that you > have in your MT4 platform from 1999 to today in a couple of hours. > > You backtest it and you feel good. Two days after you loose all your > money. That is what you got with most of the EAs. > > In my PDF I state the importance of backtest if they are made the > right way. Using the right tools and the right data. Unfortunately > they are not easily available to the everyday people. That's why I > also tell you to beware of backtests as usually they are made to fool > people that wants to be assured before buying. > > You can backtest Crescendo, but only if you know HOW to do that. > > I'm happy for you that you didn't buy that. And for me most of all. I > trade that EA every day since months. On live accounts along with > other EAs that I coded. And my performances are real. You can touch > them. > > The strategy that Crescendo uses is a strategy that is used every > single day by hundreds of funds and other institutions. I made it a > little better as we don't have that much money but fundamentally is > very similar. Probably you are not familiar with risk management > concepts and with the other concepts that are behind that kind of > approaches. I tried to make you understand them but I failed. It's OK > :) I don't have to convince you about that. > > Everybody is free to judge things. I simply suggest you to open your > mind a little and go forward. > > Kind Regards, > Andrea > > > >On Wed, Sep 29, 2010 at 3:54 PM, <email@example.com> wrote: > > Andrea, > > In your Top Secret Report pdf you talk extensively about the importance of > backtesting an EA before using it, then you give me a user manual after the > purchase of Crescendo that tells me that the Crescendo EA can’t be > backtested in MT4? Are you kidding me? If that doesn’t qualify as a SCAM, > then nothing does! Who in their right mind would trade an EA that they > can’t even backtest. All the hype around this EA and you’re telling me that > I should just forward test the EA and believe your good word about how it > performs in backtesting? You make big claims about this EA not being a > martingale EA but in actuality it’s much worse than a martingale EA in that > it keeps opening multiple trades in the losing direction trying to make up > for one initial bad trade. Wow, I may have been sucker enough to buy this > thing but I’m sure as hell not a big enough sucker to trade this loser. > > Gxxx
I was to curious to know more about this EA beacuse the creator is an Italian guy as I am ... I asked him to show me a backtest from 2008 ... i got the same answer of RTSE.... i think it s just a martingale EA... let's see another EA that they are testing 'sistemaunodue' https://www.myfxbook.com/members/crescendo/sistemaunodue/49437 but it could be the same story of 'crescendo' just wacthed the history ....it opens three positions in sell and three in buy....
After buying it and seeing how it works, I'll probably get a refund. Tries to pick the trend and go with it, if trade runs against you it opens more orders in pre-set increments (a.k.a. averaging down). Plus it checks every X hours and opens more orders based on trend (you specify X, default is 12). It's not a martingale, it opens the same lot size for all orders, recommended values are extremely low so a huge move against you won't blow your account. You can close all orders at a specified % loss (at the account level). It could go on nice runs but if both pair were to run against you simultaneously, you'll hit your specified drawdown. No mathematical genius here at all, pretty much a grid trade-and-hope strategy IMO.
dlewisfl posted: After buying it and seeing how it works, I'll probably get a refund. Tries to pick the trend and go with it, if trade runs against you it opens more orders in pre-set increments (a.k.a. averaging down). Plus it checks every X hours and opens more orders based on trend (you specify X, default is 12). It's not a martingale, it opens the same lot size for all orders, recommended values are extremely low so a huge move against you won't blow your account. You can close all orders at a specified % loss (at the account level). It could go on nice runs but if both pair were to run against you simultaneously, you'll hit your specified drawdown. No mathematical genius here at all, pretty much a grid trade-and-hope strategy IMO.
Yep, the first time I saw this type of system was when I traded commodity futures back in the early 80's. There was a book written by a guy named Robert F. Wiest called 'You Can't Lose Trading Commodities”, first published in 1980. Still have a copy sitting on my bookshelf. Interesting reading but not a practical trading system for numerous reasons. Andrea must have gotten a good deal at the half-priced book store.
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