In order to bring you the best Forex trading robots out there, we are going through a number of robots on the market, both reliable and crooked. In this review, we take a look at the August Forex Golem trading robot and find out which category it belongs to.
It is advertised by its developers that this robot optimizes in real-time and has verifiable external trading results, but we leave that for you to assess. The EA trades major currency pairs and has been in the market for about 4 years now. So, why does it not have any following in any trading forum? Let’s uncover what traders are slowly figuring out.
The platform website has a weird, bland, and haphazardly put together design. Plus, its presentation needs an urgent update. But, apart from that, there is no real information available. With fancy terminologies and unverified claims, this robot is clearly aimed towards gullible traders who don’t have much knowledge about trading. As a $197 Forex robot with no profit or money-back guarantees, it is clearly indicative of a scam that everyone should stay away from.
|Trading Strategy||Fibonacci retracement|
|License and Regulation||Not certified by the NFA or the CFTC|
|Currency Pairs||Major pairs like EURGBP, USDCHF, USDSGD|
|Robot Launch||16th November 2015|
The surprising thing is that this robot has been around for a while, since November 2015. But, the problem is that it is not mentioned at all in any of the trading forums. There is no following for August Forex Golem and, therefore, no one to verify its claims.
The strategy that the robot developers assert it uses is the Fibonacci retracement, which, if you’ve been in trading for long, you would know is a disastrous strategy. In almost all cases, this strategy opens up numerous positions in a single direction. This is highly problematic as it increases the chance of draining your account funds with a single loss.
As a completely automated robot, it is developed to run on MT4 so that anyone can use it. One has to simply pay for it, download it, and follow the setup guide to get it up and running and trading your capital within a few minutes. Plus, there is nothing more to do other than that, except checking back on its performance.
The backtest results as given on their website may appear authentic and even profitable at first glance. But the devil is in the details and they tell a whole different story. The profitability is no higher than the losses that one would incur with this robot as is highlighted by the peak drawdown of -26.5% which is much higher than any trader would be comfortable with. On top of that, there has been a loss of -2716.6 pips which, in itself, should set the alarm bells ringing. If that weren’t enough, the average loss is 11% higher than the average profit.
It is clear from customer reviews posted on the website that they are unverifiable and fake. There are no pictures against the names of the users and we know how easy it is to manufacture a positive image through customer reviews. However, when we did our own research, we found that there aren’t many positive reviews as we were led to believe at first.
In fact, there are hardly any. All popular trading forums that have mentioned August Forex Golem have done so in a negative light.