Discussion Wolfe Wave Forex Robot

   RickD posted:
   Hello,

I'm the developer of WW EA, so all the customers or members can ask me any technical questions.

You asked for questions, so my questions are:

Why have you departed so far from the well proven Wolfe Wave method?
 
Have you actually studied the authentic WW, or have you simply picked up ideas about it?

Are you a successful trader yourself or just a clever programmer?

Are you licensed by Bill Wolfe? I noticed that Borys has objected to one of the contributors drawing attention to Bill Wolfe's website! That appears to be telling us something?

I am very familiar with Wolfe Waves which I have used for manual trading for some years, alongside other methods. With increasing experience and confidence in the method I have become moderately successful, but trading is never easy. I was introduced to the idea of MT4 EAs only recently. I was intrigued that it might be possible to automate the trading of Wolfe Wave and, having come across the BJF website off a web search, I got a trial copy of this EA. A trading buddy has been helping me back test it, and is unimpressed to say the least! The vendor 'support' has done little to reassure me.

As a visitor I have been following what others have to say here with some horror. So far I have held back from comment, but as you are saying you are the developer I feel impelled to comment! Some of the contributors have made some very perceptive observations, and deserve better responses than they seem to have received so far, especially those who have paid for what is a very expensive retail EA by the usual standards.

The words Wolfe Wave are I believe a trademark of Bill Wolfe who invented and teaches the trading method, but you have not credited him as far as I can see. Was Bill Wolfe consulted?

Next I have to tell anyone who has bought this EA on the basis that it follows the Wolfe Wave trading method, that they have been duped. The lines it draws on the charts are more like a rat's nest than Wolfe Waves! The vast majority are drawn totally wrong and, as it would be impossible to trade off them manually I cannot see how the EA can engender any confidence. The EA may take trades based on what appear to be Wolfe Waves, but the trade entry is nothing like the accepted method, and trade exits seem to be set for arbitrary levels rather than according to WW theory. In fact the EA appears to give away as much as half the profit that would be available using the correct method of entry and exit. This reduced profit is unlikely to be enough to overcome the losses.

So it is not surprising that the developer, having failed to produce a profitable EA, has resorted like so many non-traders do, to adopting a variation of martingale as a remedy. This is not a trader's solution but a gamblers solution, and even gamblers know it does not work in the long run! It might have been a way to go, providing the extra trades were entered and exited at secondary WW points, but they appear to be purely arbitrary entries unconnected to WW theory.

The people who want to trade this EA without martingale are thinking like traders. They are on the right track, but will be let down by the simple fact that the EA is not using authentic Wolfe Wave.
 
The people who are putting their faith in the martingale feature to overcome the losses arising from the false Wolfe Wave are behaving like gamblers and will ultimately lose in a big way.

The working of the EA is anything but transparent, so I think most users trying to “improve” the performance are just thrashing about in the dark! And the developer is not genuinely helping, because he cannot afford any transparency.

All very unsatisfactory. So, to summarise:
  
Wolfe Wave is copyright and the developer has no licence to use it (as far as I know).

The EA follows the WW method so loosely that it cannot really be called a Wolfe Wave EA.

The EA at best gives away profit because of the above, at worst it will lose.

Adding to losing positions (at least in the way it is being done) to compensate for the tendency to lose is almost certainly going to lead to big losses in the long run, whatever the short term benefits demonstrated so far appear to be. Just look at the huge drawdowns (which apparently the developer is masking – with good reason!) and then imagine adding even more risk which will almost certainly cause a margin call!

Anyone who has bought this EA in the belief that they were buying into an authentic Wolfe Wave system should ask for their money back. Common decency alone should prompt the vendor to oblige.

I regret to say that the vendor of this EA does not have my confidence and I would run a mile from any of his products if they are anything like this one. I don't like to use the word scam because it is often overused, but.....................the word charlatan comes to mind too.......... To prove me wrong the vendor would need to be openly making refunds to all dissatisfied customers, no questions asked.

Just one final question to SandyW if he can still read this forum. You have hit the nail on the head with your commentary, so why continue to trade this EA even with your own settings and disabling the martingale? Is it because you think that the EA is using authentic WW theory? Or is it because you have spent good money on it, you have a mental blockage about ditching it? If I were you I would cut my losses, stop trading the EA before you lose even more, put it down to experience, give the developer a big black mark and move on!!