This is a review of the Level Trader FX Signal Service from Lee Scholfield.
Lee has been around the Forex industry for a few years and he is now offering a trading signal service. The website says that the signal service trades between 2-4 hours per day, from 7am to 11am during the London session and he trades only one currency pair. Once you join you get access to a members area where there are a number of modules/videos that explain how his trades work. The videos show in principle what the levels are and the techniques he uses for entering and exiting the market. You also get a number of indicators and templates to apply to the MT4 platform. You also gain access to the live sessions where Lee provides his signals.
So, how does the signal service work in practise? The signal service actually operates using the same mechanism as a webinar. Lee posts the links to the webinars on his members page and when you log into the webinar you are presented with a chart. So it is very simple to use. I have been logging into the webinars periodically, sometimes for the majority of the session, and sometimes just for a couple of hours. Once you log in, you see the chart and Lee is there calling out the trades as and when they occur. He provides a commentary that leads up to the trade entry, and then once the trade is live, he provides a further commentary on how/when to move the stops, exits, plus potential further entries, etc. So, Lee is clearly trading this, and the webinar is like a window into his trading session. Note that this is not an interactive service (like a normal webinar) – Lee just uses the webinar mechanism to provide the signals.
So, how have the result been. Well, to be honest it is very difficult to say precisely. The problem is that Lee keeps changing the conditions for how he trades. When I first started joining the sessions, the trades were exactly as explained in his modules and videos. He traded from 7am to 11am and then stopped, but also ran an afternoon session for people that couldn’t attend the morning session. Any trades in the afternoon session however, were not being included in his “official” results. Then all of a sudden Lee decided to change the levels. There was no real explanation and the modules on the member page no longer appeared to correlate with the trades he was taking. He did create a new video with some information, but I have to say I was quite confused about the change. Also, the morning and afternoon sessions then started to merge, so they were no longer separate and he was essentially trading all day. Further, Lee has a staking plan of a certain amount per pip, depending on the size of your trading account. He then moved to a more aggressive staking plan where, if part way through the week his PnL was down for that week, he would double his stake for the remaining days of the week.
So, all in all, it has been very difficult to gauge how effective the trading strategy is. Lee’s official results currently show an overall loss for the year so far of about 3%. The drawdown hit a maximum of about 16% earlier in February, but that has been made up to bring it up to the current loss of only 3%.
So, what I can say is that it certainly looks like this service might have some potential. However, given all the changes that are taking place, it is very difficult to accurately state what the performance has been like, and what it is likely to be going forward.
I can’t say at this stage that this service is approved because in the three months so far, the official results show a loss, and there have been too many changes. Equally, when trading Forex we have to expect some drawdown, or periods where we are flat overall, so the service doesn’t deserve a failed either. So, based on what I’ve seen, I would put this service in the Neutral category. I think it is worthwhile to keep an eye on it though. If Lee can minimise the changes and keep the signals consistent, then we might see the profits start growing quite considerably.
It is also worth mentioning that the payment is through Clickbank, so you can try the service for a month and if you don’t like it, you can claim a refund.
(Edit: I’ve heard from one disgruntled customer that he paid £499 for a years membership, but has failed to get the refund promised if unhappy. I have tried to mediate on his behalf but have been unsuccessful too. If you try this service, make sure you do only use Clickbank as refunds are guaranteed through Clickbank itself. I would not recommend taking up any longer term e-mail offers from Lee with other payment methods unless you are happy not to have a refund guarantee)
You can try Level Trader FX here:
Since publishing this review I’ve had six or seven e-mails from other people that also paid £499 for Lee’s service and were also ignored when they asked for a refund. This doesn’t bode well at all.