I was browsing across ebay and i came to this.....can someone explain this to me?

I was browsing across ebay and i saw this website:eek:

eBay: Intraday / FOREX Expert Advisor / Profit: 60% month !!! (item 230133544096 end time May-25-07 14:30:43 PDT)

the buyer promise a constant income and profit and includes a chart to prove
his system…and there are no negative reviews…

so i was wondering if this is a scam or can someone explain to me how it possible


It is probably not a scam.

I have experience with E-Bay EAs for MT4.
Plus just look at the sellers buyer feedback its 100% positive and hes a power seller.

I currently use an E-Bay EA that rakes in a consistent profit every month and only trades once per week.

A friend of mine whos been testing it for a while plans on starting to make a living off of it as all you need to do is just keep your pc on 24/7.

Trades like that aren’t IMPOSSIBLE, i trade in a lot of competitions when i have time and i know what top traders bring in on a daily basis. I’ve seen trade stats with up to 30 trades and no losses, on a day to day basis, so impossible is nothing, it’s all about the edge you find.

I’ve actualy already sent an email to the seller of the EA you posted here as it looks interesting - if the price is good, i’m sure to check it out and i’ll be happy to let you know about the results if i get it.

E. Lang

I gave a close inspection of this auction. And after 1 minute and beer goggles on I have a few comments.
1 If you add up all of the winning trades and losing trades and all the numbers he list it only totals up to 84 but in his backtesting he has 112 trades. I maybe a little skeptical but that dont add up!!!
2. His money back gaurentee (sorry about the spelling but like i said “beer goggles”) he will keep %10. That sounds like he is charging you to test his system.
3. If it is so good then why is he only selling a limited amount of programs??
4. I once read somewhere "if you had a system that was so good then why would you sell it to someone on the street, when you could walk into any bank in the world and sell it for millions?"
5. This point is my own personal opinon. The bext way to make money in the forex is to sell your own system.
6. If you want to buy a system for $200 there are alot better places to go to and get proven results and feedback.
7. He doesnt give a name for his system so you can google it and get feedback.
I hope I have helped you and I don’t want to influnce your decision but in my unprofessional opnoin if you want to spend 200 bones on a system then send it to me and I will be happy to email you every day.

I think the numbers add up but the problem is that
he starts off with 5,000

he is buying 3 lots at $10 a lot for a total of $30 per trade
even with 400:1 leverage you take off $1500 leaving $3500

In the beginning he has no stop loss which only gives you 116 pips
before margin call
even if you have a stop loss at 30 pips thats a $900 loss

Its ok if you win , but if you lose, you loss hard.

He is counting on big wins in the begining to start it off
which is not good.

IMHO, I suggest you not buy anyone else’s system. You will become a better trader by thinking through your own set-ups and making your own decisions.

New traders often learn poor habits “buying when the lights turn green and selling when they turn red”, or worse yet turning their computer on and walking away while an algorithm someone else wrote trades for them.

Good luck…

There is no need to pay a dime to anybody for a system, just get involved with the right people and you will pick up speed fast enough and learn how to make money with FX. It is ALL in the lessons on this site.

is a spammer
trying to promote your cheesy website

Hey ritetraders,
Don’t associate yourself with me. You are spamming and doing everything I was trying to twdh04 to look out for. If you agree with me then do it because you believe in what I have to say not because your trying to sell something. It people like you that this site was made to protect against. Get off babypips.

Would you be kind enough to share with us your system…i am sure all of us are very keen to know more

ok, think a/b it this way: FX is a chaotic (in the mathematical sense), i.e. non-linear system. the info from the past you use to predict its future behavior changes that very behavior you are trying to predict. so now, assuming this system works for 1 person, imagine if a lot of people buy it and start using it. all of a sudden everybody is a millionaire? of course not. the market behaviour will change again and your so-called ‘predictive’ model will blow up in your face. if LTCM (long term capital management) couldn’t do it w/ 2 nobel prize winners, do you think some guy off the internet can, and what’s more, would sell it to you?

the only advantage anybody has in this market is information asymmetry. if everybody had perfect knowledge a/b the next 5 or 10 or x minutes of market behavior, everyone would go in the same direction and how would all the orders get filled then?

so it is all a/b information asymmetry, meaning what i know (assuming it is accurate) and what you don’t know, will give me the advantage when entering a trade if you are my counterpart. and thus i will win. this is why i never ever tell anyone what my system is.

which brings us back to the issue as to why would any trader worth his mettle bother w/ creating countless DVDs and books, deal w/ the hassle of a legal commercial entity under which name to sell the said DVDs/book course package, when instead, he could be applying these very principles to his or her own benefit?

b/c s/he is altruistic? yeah, right. especially in this line of work where it’s all a/b greed.

more likely either s/he needs to refund his/her trading acct or is just a businessman seeing an opportunity to prey on the ignorant.

i would take it this way, if he/she has a holy grail why would he will sell it to me, why not use it himself if the system is so prefect :o

i think pay for any system is silly bcoz there is so many free systems out there and even on this web site is couple of them and they�re worth of try before you decide to pay for one and anyway using your own brain is the best way to succeed and i created my own system after one week of trading and then just made some upgrades.so be careful where you spend your money and that you will need them for live trading too.

have a good one :smiley:

so elang, did you try it?
and that ea system you bought on ebay, is it still on sale? if it is, what’s it called?

Let me say up front that I’m not a proponent of traders, especially new ones, grabbing on to someone else’s system (free or at cost). More often than not, they won’t work the same for you as they do (or are claimed to do) for the inventor of them. That said, I’m all for exploring trading systems as a way to further your own research and develop something that works for you.

As to the comment above, it makes some assumptions that don’t hold up. Firstly, not all trading systems are “predictive”. Some just look to profit from the normal ebb and flow of prices and the basic mechanics of the markets.

Secondly, how many is “a lot”? There are probably millions of forex traders trading trillions of dollars worth each day. It would take a significant amount of trading volume in a specific system to change the market behavior - assuming of course that everyone was trading the same currencies at the same time in the same way, which strikes me as very unlikely to ever happen given human nature.

As to LTCM, I don’t believe their efforts were based on predictive models, but rather perceived arbitrage opportunities. They got in to trouble because the markets moved against them unexpectedly and the size of their positions were so big that unwinding them moved the markets even more, creating a nasty cycle. I very seriously doubt that anyone on this board - or all of us together even - would have that kind of problem.

Hi Guys,

I came across this same EA a while ago, and bought it.
The EA works, and me being a newbie, I am still amazed that
it works completely automatically.

I however do not know whether I would try this out for real. As in the previous reply, it just seems to make use of the usual ebb and flows of the Japanese trading session, Eur/USD. So it opens a buy or a sell (or limit), with a TP five pips away with 3 lots.
The chances are there of course that it waves up and down once or twice during that session, and you will have your profit. If it works�2x $150. This system uses a stop loss though of a HUNDRED PIPS.

With me (demo account $10000) it worked fine 7 times.(although the 5th and 7th trade I was about $900 in the negative), so it showed a profit of $1050 for a week, but the next trade it run away from the entry, and I got my $2400 loss.

I am sure there is a relatively high chance of getting those 5 pips (normally twice a session) out of that day, but with a potential loss of 100 pips each time, meaning you have to win 20 times to make up for 1 loss, this seems a tat too risky.

A chance of loosing $3000 on your first trade ($10000 account), �30% mmmmm maybe not.

The guy who made it�hats of for him. I couldn�t do it. But the fact of the matter is that this is just a �Dumb� system. It can not think for it self

That is all.

Have a hectic day

I for one thought they were scams too. What return are you seeing off of your EA? I am looking to automate my trading. I guess the first step is the hardest.

It’s good to see a trader actually use them. The prices are a bit high for some. I guess if they are consistent it is worth it though right?

Interesting thread…

I am currently running an EA on my LIVE account, so far for over 2 weeks. It only lost once, and the largest winner was bigger than the loss. Before I ran it live, I put it on a dummy account of course, and the return was unbelievable. I am not going to tell you the percentage, because it is “unbelievable”.

That being said, I still only allow it to trade a very small portion of my account. Prior to purchase this EA, I had done a lot of research of course. I am not going to risk my money. First of all, be aware of those EA’s that do not employ an initial stoploss orders. It is obvious. While they look GREAT from the back test result, in reality unless you are really loaded and your risk tolerance is high, it can easily wipe you out with one trade. Secondly, don’t play with an EA that average up or down. Meaning when it loses, it opens more positions with more lots “hoping” the price will come back and you can get out with profit. We all know once the markets begin to trend, it could go on for a while. ALL positions might end up losers altogether. I bought this EA because 1. It is commercially released and the programmer promises life-time upgrades. This means you can always find the source and ask questions. 2. It uses a stoploss. 3. It uses a trailing stop. In short, if the EA doesn’t trade the way YOU trade, don’t even try it. You always use a stoploss, don’t you?

Also be aware of those EA’s that make gazillion of trades and almost never lose. There is a reason why they never lose. The most obvious reason is that they will NOT close a position until they win.

Still, I do believe that EA can do a good job. An EA can analyze more data in a second than any human being can handle. It works 24 hours a day as long as you keep your computer on, it never gets tired, it never needs to sleep. It doesn’t have the human emotions and it never breaks the “rules”. Now, you all trade with a set of rules, or a “system”, right? If you have a mechanical system that you trade with and you follow the rules to the tee and you have been profitable, what make you think the EA will do a worse job than you do if you know how to program it properly? Certainly I don’t know any one who can feed the fundamental data to an EA for it to consider, but the last time I checked, not many people using fundamental analysis anyway.

In the past week, I have read so many posts on various forums that people were shorting EUR because of all the technical divergences. Yet my EA opened long trades one after another. Every time it did that, I got worried. But I have determined that I will not interfere with its “job”. So I left it alone. Boy! Did that pay off! I really could care less because like I said, I only allow it to trade a very small portion of my account, for now. And the stoploss is user adjustable (I set it at 50 pips) so my risk is pre-defined, that’s how much I am going to lose if a trade is not going to work out. That was my only loss so far (50 pips), and my largest win so far was 76 pips. (Target at 100, price shot up to 96 pips and retraced, trailing stop 20 pips, so 96-20=76).

THAT being said, I really have no clue what my EA bases on to open a trade. From the chart, it always looks like it opens a trade “in the middle of nowhere”.

Two week might not be a long time to really see what it can do! But I am happy with my result so far.

And oh, yes, I bought one off eBay as well. AFTER I purchased it, I read the trade list more carefully, even compared the time/price with my chart. And guess what, those 40-pip drops in 5 minutes indicated in their statement never happened on my chart. I know every broker has slightly different prices, and the time zone may be confusing. But some of the trades were not even in the direction of the market as they claimed. Of course when I back tested that EA, it wiped out my account in less than 4 months, on different time frames and pairs. So be aware!!

Good trading!

Very interesting post. keep us updated about your progress.
What EA u using. if u dont mind sharing.
Thanks :slight_smile: