( the 5-minute forex" system. I did read about it in another thread in this forum but it was i old one from 2003 and i wonder is there anyone that still use it and if it still works? Regards John
I tried it for a short time and it was going through a substantial drawdown. Many using it were unhappy, and there was a good deal of "unrest" on his private message board. I have no idea what they have been doing since mid-April. I can say that what I found disturbing was the "cult-like" atmosphere, and the fact that any detractors or people asking valid questions/raising valid concerns were quickly shot down and silenced. That was a big red flag. Also, the fact that he never actually reveals how to calculate his levels - it is truly a proprietary, "black-box" system in that sense. So, another red flag. Anyway - I think a few other ET'ers were using it, so I am sure they can chime in. IMO - avoid it.
I've been trading 5min4x in a demo since 4/7/2005. I am becoming more and more skeptical that the system will work in current market conditions. I can see evidence that it can work, BUT you have to trade it perfectly so as not to miss any winners. Miss a couple and it puts you in the hole. I'm going to demo it for a full 3 months and see what happens but will likely quit and not risk real money on it. My demo acct is currently down 31%. At one point I was up 6%. I was trying to trade it "by the book" as mechanically as possible, however, I can see looking back that if I did some additional TA I could avoid entering some losers and also let some winners run longer. Sorta defeats the purpose of a mechanical system. Get the signal, enter the trades, go to sleep. I did learn some things from it and its helped me to learn my trading platform better by entering and modifying so many trades.
Big red flag here too! Bought the older version of the system, now the guy is peddling some new version. I would rather stay away from this guy and his systems. His first version was based only on one year of backtesting. That's definitely not enough for a swing system... Just another guy with the pretense of cornering the guru market for forex...
I traded the system live from the release of the new system in February. I quit after 50% drawdown. I believe those who have continued to trade by the rules are experiencing even greater drawdowns. The system creator, Beau Diamond, has all but abandoned the private forum; which is virtually a ghost town nowadays. Surprizingly I notice he is still actively peddling his "proven" system on E-bay even though it has yet to show profit. Run Forest, RUN!
I bought the program in late March of this year, and after 65 days it was down 50%. I asked Beau for a refund, and he gave it to me, minus the Paypal fee. But he ended up refunding that to me as well after I pointed out that his website says "complete refund". Funny this came up today, cuz just this morning I got a message in my e-mail that said "Your subscription payment to Beau Diamond has been paid"!!!! I forgot to cancel that TRL subscription I signed up for!! But I sent an e-mail to Beau and he refunded it to me right away, so I gotta give him props for that. Don
The sick thing is that most of us knew better too. It's like walking past a "wet paint" sign. First you look to see if anyone is watching, then you touch it to see if it really is wet! Oh yeah, I didn't get a refund. He insisted I send him a brokerr statement showing 10 consecutive trades for each pair. I couldn't since I switched brokers just before I quit trading that system.
I am always skeptical about black box systems. This system looks like it wants your subscription fee for "life". That fact itself made me run away from it. Maji