Forex Signals Review – Vipro From ZuluTrade

Anyone who can amass some 40,000 pips in 16 months is pure Genius… Correct?

Let us review this long time Top 5 contender in the ZuluRankings – and you might be surprise. Vipro, an automated Forex trading system in Zulutrade, was set up some time back in early July of 2010. Over a period of 17 months, this seemingly crazy mechanical trading EA has built up close to 40k pips net, in total. The first thing that came to my mind was this:

Unfortunately, nope. While Vipro has been profitable (highly) over its lifetime, there are secrets to be told. This Forex system is like wild beast – tame it and you’ll find yourself a pot of gold – and if you don’t, I assure you will get your account burned before you know it.

The Cons of Vipro

Taking a closer look to Vipro’s stats brings me a little disappointment. Over a 6 month period, Vipro has gained about 16k pips in profit, but the maximal drawdown is a disastrous 82%. If you have no idea what that means – that’s a 13.96k pips on the red which the EuroKing’s Drawdown (EKD) too returns the same. The Vipro Forex trading strategy also trade a maximum of 30 lots simultaneously, and that’s one of the reasons it can have extreme profits and losses… Oh, and did I mention that this is a martingale system? Which means whenever a trade is lost, it will go on and double the positions in hopes of a win to cover up the previous losses. If you look at the chart at the side, you’ll notice that there are sharp valleys every now and then. These valleys – looking like ‘V’s occurred when the Expert Advisor registered a loss, and then double up… If the second trade doesn’t get a win, it double up another time, over and over… until the win that finally arrives.

Another factor that Forex investors should consider is the fact that Vipro trades a lot. I mean A LOT. In September alone, Vipro has made over 300 trades, and that’s about the figure you should expect every month. With that in mind, and considering that the average broker would have a modest 1.5 pips of slippage per trade, expect to deduct a ball park figure of 450 pips from your profits (or loss) every month.

Something Good About Vipro

With $8.5 millions worth of followers, Vipro isn’t exactly that bad. However much I may appear to avoid Martingale, Vipro has proven that this Forex system works, for now. At the very least, it is smart and sturdy enough to survive the Japanese earthquake and the Greek misery, whereas many went to the abyss of no return.

EuroKing’s Verdict

To be able to even think about trading with Vipro and its ferocious drawdowns, you’ll need to have at least USD 27k per mini lot. Given the amount of profits it made in the past 6 months (16.8k), it is recommended to go micro lot with this particular signal provider. Which means a USD 2,700 investment 6 months ago would have brought you some USD 1,330* profits today. Nonetheless, given the considerable risk involved and better options available – Say ‘No’ to Vipro. You will have a (much) better chance with Forex Cruise Control or a few others.

*After deducting 450 pips of slippages per month for 6 months = 2700 pips or USD 270 on microlot accounts.

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