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Do Profitable Expert Advisors Exist?

If you look around the web you can find more Expert Advisors than traders. There are so many broke wannabe traders throwing crappy EA’s together to make some easy money. The problem is they are always backtested and never tried in a live market, which means the result is very questionable at best.

Besides not being able to trust the results, they very often don’t work at all in a live market, and if they do actually hit a winning trade it’s not consistent. I have been in the game for many years, and I have never seen an EA that returned consistent profits. I have seen a few that actually worked pretty well for a few weeks, or in some rare cases even a few months, but none that continue to work.

I have no doubt that profitable Expert Advisors exist, however they are not available for purchase, and if they are it’s with a hefty price-tag. Think about it, if you had developed an EA that actually worked, steadily increasing your account balance every month, would you even consider selling it? I surely wouldn’t.

My advice is to stop chasing crappy EA’s that don’t work, and instead learn how to trade! It takes time and effort, and even a few margin calls, but you will get there if you are consistent.

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Risk Management with MetaTrader 4

Did you know that most traders don’t use proper risk management at all, and this is the main reason their account gets creamed fairly quickly?

So many traders are opening orders purely based on lotsize, without taking into consideration how much risk that lotsize actually is. If you place a 1 lot trade on an account, depending on the SL and your account size, that 1 lot equals a certain risk percentage. However, if that trade is a loser and you use the same lotsize and SL for the next order, the risk percentage for the new order will be greater. If you continue doing this through a number of losing trades, you suddenly have a big hole in your trading account.

The bottom line is that you should always know exactly what you are risking per trade, anything else is financial suicide. Back in the day, traders would have to manually calculate their risk per trade, which is quite time consuming, this is also why so few traders do it. The industry standard MT4 trade manager from Pecunia Systems has built-in risk calculation with 1-click execution, so you simply select the desired risk percentage and click buy or sell, and FX Synergy instantly and automatically calculated the exact lotsize to use on the trade. Extremely useful, and very handy for proper risk management.