Z Trader FX EA Rating and Review -Scam EA?
Z Trader FX EA is an EA that has recently attracted the attention of traders.
Back test and forward test have been good for now, but is it worth buying?
Trade Analysis of Z Trader FX EA
Z Trader FX EA is an EA that uses grid trading.
The recommended currency pair is EURUSD only.
This EA basically does not use stop loss.
The EA holds positions and will continue to wait until the market returns even if the price moves in the direction of losing.
An Example of Characteristic Transactions
The image below is a plot of this EA’s trading history on a 1DAY timeframe chart.
I think that the time frame when actually operating this EA with MT4 is not the 1DAY time frame. However, it will be a reference for how this EA holds the positions.
Let’s pick up one transaction from this list.
The buying position was opened on the left side of the image, but the market price turned down.
There was big loss, but there was no stop loss.
The buy position was opened when the EURUSD rate was 1.1310 and temporarily dropped to 1.1111. Therefore, the account had equity loss of about 200pips.
After that, fortunately, the market price rose and returned to the price range when the position was held, so the trade ended with profit of less than 10pips.
Position was held for about 3 months until the market price returned.
In this way, Z Trader FX EA is a type of grid EA that waits until the market price returns.
Although there are grid-type EAs that hold a large number of positions, the number of positions of Z Trader FX EA is designed to be relatively small.
Grid EAs that take a large number of positions have the advantage that all positions can be closed when profits are obtained by calculating the total positions.
In other words, there are transactions that end with loss.
On the other hand, this EA tends to hold positions until each position is profitable.
Z Trader FX EA will not open positions with increased lot size, even if the position has equity loss. The lot size is basically fixed.
Many people think that “Martingale is not adopted = low risk”.
“No martingale” is also emphasized on the Z Trader FX EA sales site.
However, this EA is not a low risk EA but a high risk EA.
Martingale is a technique that can destroy your account rapidly. However, by increasing the lot size step by step, there is also an advantage that you can make a total profit even if the market returns are small. .
On the other hand, although this EA is not a martingale, if the market price reverses the direction of the position, you must keep the position forever until the market price returns.
What happens if the market continues to run backward in the direction of the position over the long term?
Slowly, equity is steadily decreasing, broker margin requirements cannot be kept, forced position close occurs, and eventually the account balance becomes zero.
I hope this EA has taken measures to prevent this situation …
However, I don’t know what it really is.
Watch Out for Beautiful Balance Curves!
The results published on Myfxbook are still very nice looking.
From August 2018 to August 2019, the account balance has grown by about + 500%. The monthly profit rate is as high as about 20%.
However, it just looks good, and I don’t mean this EA is an excellent EA.。
The profit curve drawn by the grid EA is characterized by such a beautiful upward curve. Because it doesn’t cut loss.
On the other hand, if the market price goes backwards as expected, the account will have equity loss.
As a result of the vendor releasing it to Myfxbook, the open position is not disclosed.
Probably to avoid giving the trader a negative impression by opening the position.
Since June 2019, the gap between equity (yellow line graph) and balance (red line graph) has expanded and is not doing well.
This means that the price is going against the position direction.
If the market continues to go backwards, the balance of the account will be zero.
Pay attention to deposit amount!!
The deposit amount of the vendor’s public account is only 4763RUB.
If this amount is exchanged for USD, it is around 70USD.
If the developer of Z Trader FX EA has the ability to make EAs that can really make money, wouldn’t he make a bigger deposit?
If he is confident in the future outcome of this EA, wouldn’t he make a bigger deposit?
The question remains as to why he operates the EA with a small deposit.
Multiple EA Sales by the Same Person
There is a suspicion that the developer of this EA is creating and selling multiple EAs on different sites.
The suspicious EA sites are:
There is a suspicion that a total of 16 EAs are sold by the same person from different sites.
Not all of them have been checked closely, but when I look at the transaction history and sales site of “Worthy FX TRADER” and “FXMATH X-TRADER”, it is likely that the same person has created it.
The following is the result of RobotX on Myfxbook.
Judging from the fact that it is operated with a small deposit amount of 5082RUB, that Forex4you is used as a broker, and the transaction method, etc., it is likely that it is an EA created by the same person.
I think these EAs have the same trading logic and are sold with different recommended timeframes and currency pairs.
Why does he need to sell so many EAs on another site?
If EA can make money, shouldn’t it be sold from the same site under the same developer name?
Grid EAs often show good performance at first since they started operation.
That is because the market is characterized by repeated ups and downs.
However, it will never go up or down at the same price range forever, and in the long run it will go either up or down. The grid EA account will collapse if the market moves significantly in either way.
I think most grid EAs have an expiration date.
So they deceive as if another person sells EAs even though they are same person
They sell EAs by showing only the first good performance, and even if one EA fails, they can sell other EAs.
By repeating this, they can continue to sell EAs.
We users must be aware of this business model.
Conclusion of Z Trader FX EA
It is a high-risk EA because it is a grid EA that does not place stop loss.
Don’t confuse it with a low-risk EA from the advertising of a fixed lot, no martingale on the sales site.
There is also a suspicion that a lot of similar EAs are sold from the same person. This is probably due to continued sales of EAs that are good at first performance but not profitable in the long run.
Judging from all of these, I can’t recommend buying this EA.
However, since it is also true that a profit of + 500% has been obtained in one year of operation, I think that it would be nice if you want to use it while withdrawing profits without wanting much.