Trade Vantage – Final Review
TradeVantage is a piece of software that utilises the power of “Neural Networks” to analyse ForEx markets and generate signals on daily charts.
I have several issues:
- not very comfortable with automated tools to enter and manage trades. On ForEx even the very few that do work do not work for long. Perhaps “Neural Networks” will make a difference, only time will tell.
- The software seems to say hold trades it has already advised me to close, or to close trades I don’t have open. I check the signals very carefully and whilst I might make 1 or 2 errors, this seems to happen a wee bit to regularly. So I only opened trades if not already in one, and closed when advised and ignored any other signals.
- I got signals on Monday morning telling me to open and close trades, supposedly from 8 a.m. on Sunday when the markets are shut. So I took the trades using the 8 am candle data on Monday and have recorded the results accordingly. I suspect the data feed is based on Asian markets and “adjusted” for European.
- Being daily trades the stops are quite wide, and you are going to need very deep pockets to play all the pairs the software follows. There are 23 pairs, and the total stop allowance I made is 6000 pips. You probably need to cover more than that though, so if you wanted to cover 9000 pips (the total + 50%) then you’ll need £9k to trade £1 per pip.
These issues apart it is easy to operate the software and follow the signals and to place the trades.
I am closing this after just 7 weeks. In this time I have recorded only one winning week and we currently stand at -1124 pips (-£11,340). This at a time where the markets have been in meltdown and trading conditions have not been difficult most days. It should come as no surprise then that this is firmly placed in the FAILED category.
One last comment; it was brought to my attention that the signals may be replicated using a simple two moving-average crossover. I have applied these moving averages to my Alpari charts and the evidence I have does not support this theory. However, this is using a UK data feed which is almost certainly not the data feed the product is using (as stated above I suspect an Asian data feed), and this theory originated from an Australian-based blog. I don’t know, and I won’t be investigating, whether this makes any difference what so ever.
Trade Vantage is not currently available, but even if it were, we don’t recommend it. Especially at $2000 a pop!
