What is real and what is fake?

I just do my first step in the forex stuff and played the system finder minutes ago. Nice - but it�s not clear for me, who assures the realness of all these 'fantastic' systems???? I mean to say many systems predict outstanding results. So most of the readers here should be millionairs lang ago. But it doesn�t seem to work. So - what are the system finder and the myfxbook side really worth?

Hope nobody feels offended.

Thx for information!

krieder

krieder, this topic was already addressed at our blog: https://blog.myfxbook.com

Oanda accounts are verified.

MetaTrader 4 accounts are currently not verified and we're already working on a solution.

One way to single out the fake one for MT4 accounts is by looking at the balance, if it shows 'withdrawal' than its definately real because one cannot withdraw money from Demo Accounts..

Thanks for infos and hints!

I certainly hope we can get rid of all the bullshit. The site is great, I love it, but all these we're doing 1000's of percents and we want your $50 is really spoiling it, to the point that I don't even bother looking at the systems anymore.

No way of telling what's working and what's not.

the way I'm distinguising a good system from a fake one is by looking at 'Average Win' if it's about 10pips (many times it's even less than that) this means it's a 'scalping to hell using an unrealistically low spread that can be found only on a demo account' so it's not worth attention

When considering a system, You will have to pay attention to these things :

1) if it says DEMO it is of course not traded in the real market. Lots of ways to create unrealistic returns on demo accounts
if it says REAL, then the data is from a system that was traded at a broker (most likely into a realistic market)

2) The balance growth is what you see. When you open an order, but don't close it, you will have unrealized profits or losses, these are not shown. A system that opens one trade in each direction, and only closes the profitable ones at say 10 pips will have a growing balance, but also a similarily growing open positions loss, which is hidden in the stats shown.
HOWEVER, if the system shows open positions, you can check yourself by looking at the positions and checking current rates, if the open positions are a loss or a gain

3) the number of days the system have been trading. If the number of days is a short period (months) then the result could be just luck.
if the system trading period is in the past, the system author might have run out of luck at the time the trading reporting stopped, so you see data until the big crash.

4) i think there might be some bug with withdrawals and deposits - my system4 shows a growth gain that i am not sure is realistic, i think (without calculating the ins and outs) the real gain is in the area of 200 to 500 pct since inception, not 3000 pct or whatever is shown. currently the net asset value of that system is 3874 euros, not sure how much money i've funded it with, don't really care, but i would guess in the order of 1000 to 1500 euros. anyways - watch out for deposits and withdrawals, they might make the system growth show in a weird way.

I think these things must be true for a system to be in the category 'probably true performance'
1) from oanda, as mt4 numbers can be faked by the user by manually altering the datafile
2) real trading, as demo trading might utilize unrealistic spreads or would have had slippage if traded live
3) open poositions must be shown, to enable you to calculate net asset value as of right now
4) the system should be updated until quite recently (within a week) otherwise it might not work anymore, but the auther won't like to publish the recent bad results.
5) the system should have been running for a time, to expose it to different kinds of forex markets. depending on trading frequency i'd say at least a few months.

My systems match all 5 criteria, and all but one is currently profitable if you add the value of open positions.

Btw. my systems will only perform if the usd falls in way, that is inside a universe of scenarios i have defined. I have no idea if i will find another outstandingly obvious forex once in a lifetime opportunity once the usd is toast and i am rich. Therefore my systems will not work forever, they need quite precise macroeconomic bets on at least one currency to work.

I have not been able to automate the selection of currencies about to crash. And I am not always correct with my timing, using my macro and political insight skills, which are a long way from perfect, but - at least i think - about as good as george soros'. I am trying to copy his success with making a gazillion on a doomed currency.