FXCIPHER is said to be the Forex robot traders have been looking for all this time. Apparently, it provides you with 2 built-in presets options. One of them has undergone optimization since 2010, and the vendor asserts that this is what makes it very reliable. The other one has been enhanced from 2017 and this has supposedly helped to augment its profitability.
Detailed Forex robot review
FXCIPHER basically executes trades automatically. However, we neither know the company nor the professionals behind it. This information is missing. So, their real names, qualifications, achievements, and contact details remain a mystery to us. How does the vendor expect us to have faith in them when they cannot trust us with something as simple as their background info?
The robot has several features which are listed below:
- It can trade both on the MT4 and MT5 platforms and is also compatible with NFA regulated and FIFO brokers
- Supports several currency pairs including GBPUSD, EURJPY, AUDUSD, USDCAD, and EURUSD
- A special Preset selection mode has been incorporated
- It integrates a special technology to ensure that trading on the user’s account is accurate
- It has a special drawdown limiting system that seeks to minimize drawdowns
FXCIPHER strategy tests
FXCIPHER applies 2 built-in strategies. According to the vendor, these approaches are created to adjust to market situations. Sad to say, this information is not detailed enough to convince us that the system is worthwhile. You should also note that, as we analyzed the trading history of the EA, it became clearer that the martingale approach is present.
Several backtest reports for different currency pairs are available. We have chosen to concentrate on one.
The system traded with the EURUSD currency pair between January 2010 and July 2021 and worked on the 1 hour time frame. During this period, it executed 2098 trades achieving win-rates of 51.45% for shorts and 50.41% for longs. These results are average and not promising. The profit factor (1.45) was not that impressive as well.
The account was initially deposited with $10,000 and the EA managed to generate a total net profit of $409,924.20. The average profit trade was $1,228.73 while the average loss trade was -$876.07. The relative drawdown rate of 38.89% was high. This brought to our attention the high-risk approach the system applied.
Live account trading results
Live trading results are available as well.
This is a real USD account. It runs on the MT4 terminal and was deployed on September 24, 2020. Up to now, it has made a gain of 378.37%. The EA makes profits at a rate of 0.49% daily and 16.15% monthly. From a deposit of $2500, a profit of $9459.21 has been generated increasing the account balance to $11,959.21. The drawdown (22.94%) is quite high and hence worrisome. If it increases, then the account will incur more losses.
The robot has executed 204 trades with 768.7 pips. The average loss (-68.16 pips) is slightly above the average profit of 61.69 pips. This is a dangerous trend as it indicates that the system is making more losses than wins. The win rates of 59% for longs and 51% for shorts are rather poor. They highlight the low profitability rate of the account. The profit factor (1.92) is mediocre. The lots traded are 66.34. This figure is big and escalates the account’s risk of suffering losses.
Thursday was the most traded day (46 deals).
The system trades with moderate risks to the balance. If it loses 10 trades consecutively, then 10% of the account will be on the line.
A closer look at the account shows that it made profits of between 8.17% and 15.96%. However, it has generated a profit of 0.7% in August so far.
We can see here that the robot traded with large lot sizes. Martingale is also evident as it increases lot sizes in attempts to recover losses.
FXCIPHER is sold at $295. It comes with 1 license, a detailed user manual, free updates and 24/7 technical support. A money-back guarantee is provided but we do not know how long it lasts since this is not indicated.
We could not find any customer feedback for this EA on any of the reputable FX review websites like Trustpilot, Quora, and Forex Peace Army. This really concerns us since the robot has been in the market for quite a while now. So, we expected it to have customers who can tell us about their individual experiences with it. The lack of feedback has led us to assume that the EA is still not popular with the masses.
This robot has many reflags that make us reluctant to recommend it to traders. First and foremost, it is incapable of generating good returns. Secondly, the high drawdown and the martingale strategy pose significant dangers to the small earnings made and can quickly reduce the account balance to zero. Lastly, we believe that the vendor is not confident about their credentials.
Otherwise, they should have displayed them in broad daylight for us to see. So, they cannot be relied on.