RoboMiner Pro Robot Review - LIVE ACCOUNT

[PipCop]

I found out from his Forex Assistant site that they are working on a solution for the FIFO , but it doesn't seem like it's an issue at this point . Basically, it sounds like the brokers are still fighting this so it will be a while longer until something happens.

[PipCop]

This email was sent by Jerry from Forex Goldmine:

As most of you know, there has been a lot of concern about the upcoming FIFO regulations which are scheduled to take effect possibly as soon as July 31. I have been receiving numerous inquiries as to the effect of this regulation on traders who are trading the RoboMiner and/or GT-Shadow with U.S. brokers. I have resisted saying anything definitive until I get confirmation of what actually is going to take place from reliable sources.


First of all, I will say that up until yesterday, I had hoped that the situation would resolve itself as being a non-issue. I was a strong proponent of that, almost to the point of being bull-headed, and urged everyone to wait and see what would finally develop before making any hasty moves. We have finally gotten a clear, definite word from IBFX and the NFA on this issue. As of right now, it appears that I was wrong in my hopes, and that the issue will affect us, especially those of us with IBFX. To say that I am disappointed in this would be a great understatement. I am disappointed, not just because I was wrong in my previous assessment of the situation, but because of the impact that this rule is going to have on all of us. I will also say that it is my strong opinion that the situation has not been helped at all in the way that some brokers have attempted to profit from the need for traders to move their accounts overseas. While I blame no one for trying to make an honest profit, I also think that things have gotten somewhat distasteful, and I think that more could have been done to avoid this whole thing.

The bottom line is that, contrary to what we were told just a few weeks ago, IBFX is now saying that the rule will have an effect on trading the RoboMiner and GT-Shadow with them. They are attempting to come up with some ways around the situation, but unless your account is large enough so that you are trading at least .5 or 1.0 lots with them, it is likely that their fix will not be sufficient to allow you to stay with IBFX. All of this is still contingent upon the rule actually taking place on July 31, but at this point , it would be prudent to assume that is what will take place.

FXDD says that it will not affect their traders at all, since they are not members of the NFA. They do not plan to change anything as of the end of July, and so we can continue to trade as usual with FXDD. They also have some other contingency plans in the works in case they are needed in the future. I applaud FXDD for the stand that they are taking.

At this time, my best suggestion for IBFX users is that if your account is small, so that you have to trade small lot sizes, you may wish to consider moving your account, since their fix will likely not work for you.
For those who wish to move offshore to a UK account, you have more than one option, but I will tell you that forex.com has been very cooperative in working with us on this issue. Forex.com is a subsidiary of Gain Capital (who is used by TradeStation) so they bring a solid reputation to the table. They will give you a standard account with 200:1 leverage and with the ability to trade micro lots (.01 lots), which is very important to us.
Because they are based in the UK, you will not have to worry about any of the recent or new NFA regulations. They have given me the following link which will automatically streamline the opening of a Metatrader account with the options that we need. I used it myself, and was able to go through the entire account opening process in under 10 minutes. Here is the link:

https://secure.efxnow.com/NewOLS_MQU...BRUN&SIBC=BRUN

They do ask at one point who referred you to forex.com and if you want to mention me in that box, I would appreciate it, but if you don't, that is OK too.

Please understand that I do not make this suggestion lightly. I have appreciated IBFX over the past few years, and really hate that it has come to this. Again, if you are with FXDD, I do not believe it is necessary to move right now, according to what they are saying. If you are already with a non-US broker , then, of course, you are not affected by this at all. If you are with IBFX, however, it looks like you will need to seriously consider this option.

The question will naturally come up about what to do with your existing accounts and existing open trades. I will tell you what I have done in my IBFX account. I have set DoTrades to false, so that the RoboMiner will not open any additional trades in my IBFX account. I expect that when the time comes for the rule to go into effect, trades which are already open with a TakeProfit will likely be allowed to close at their existing TakeProfit point , and that the rule would only apply to new trades opened after that date. So I am going to attempt to let my trades close naturally as much as possible between now and then. Because I will not be opening any new trades, I will be transferring a portion of my balance out of that account, and will leave only enough to cover the trades that are remaining, with enough extra to account for additional price movement towards the outside.
I will leave it up to Bob to come up with more precise calculations in the next week or so, but depending on how many trades are open, it may only end up being $100 or so, for example, for every .01 lots in trade size in an IBFX mini account. If that is the case, it would end up being $1000 in a standard account. Hopefully, we will be able to provide you with a simple way of calculating the needed amount in the next week or so.

In the unlikely event that they say the new rule will effect even our existing trades, then I will be prepared to modify my TakeProfit points on each remaining trade to whatever the lowest TakeProfit is on the AUDNZD and whatever the highest TakeProfit is on the EURCHF, so that all trades would be closed at the same time when that price is reached. Even though it would take longer, we would end up with a larger profit when those trades do close.

If you are an IBFX trader, and for some reason, absolutely cannot or will not leave IBFX, then I will tell you that Bob and I have developed a new robot that we are naming the 'Forex Prospector' . This robot opens only 1 trade at a time, and so will not be affected by the FIFO rules. We would be happy to offer it at no cost as a replacement for the RoboMiner or GT-Shadow for anyone who feels that they must stay with IBFX.
We will be releasing more information about this in the coming weeks, and, for the rest of you, we are considering the possibility of making it available as an additional robot that you can purchase through our authorized resellers. However, as much as we like the Prospector, we still believe that your better option would be to move your account to forex.com and stay with the RoboMiner.

This is certainly a time of transition, and is what many would consider a sad time for Forex traders. I feel like we are witnessing the end of an era in Forex trading in the United States. I want to assure you that we are not going anywhere. Bob and I will continue to do whatever we can to help through this time.


Sincerely,

Jerry Brunet
Admin, Forex-Goldmine.com

[pipdetector]

I thought that the hedging ban was not to affect Goldminer. How is the rule affecting it?

[peteronmaui]

Originally Posted by pipdetector

I thought that the hedging ban was not to affect Goldminer. How is the rule affecting it?

If you are into legalese: check out the following link:
http://www.nfa.futures.org/nfa-faqs/...e-2-43-QA.HTML
The way I understand it, is that if you open two positions you have to close the one first which you had opened first. Before I closed my RM account about two weeks ago, I still had open positions from last December, that will not be possible anymore. Since the whole concept of RM is based on holding dozens of small positions until they finally close (if ever), this rule basically pulls the rug out from under RM. All kinds of grid trading systems will meet the same fate.
Peter

[pipdetector]

I am with FXDD so I do not need to migrate now, but I wonder how long it will hold...

[only20gp]

just closed my last few trades with robominer and have now moved to forex.com uk. so looking forward to resuming making money. one question or strategy id like to share and get some opinions from you fellow robominer users.

im in the process of funding my new account with forex.com anf this time i want to go large. around 20k or so. because it is quite a large amount of money, i spent alot of time thinking what would be the best way to trade absolutly risk free. well, i came up with something and i want to know if it would work or not. here it goes . . . . since hedging is allowed in foreing brokers . . . .

lets say i enterd the audnzd at the time when it was around 1.6800 or so and the range was at 34 going up and i was trading 0.01 lots with a balance of 2000 usd. after a few weeks the market moved up to range 66. that means id have 33 open trades at 0.01 (0.33 lots trading).

now a week later and the market has moved up another 160 pips (4 ranges above range 66). now id start getting worried about a margin call coming soon if it carried on at this pace.

so if i made a buy order for 0.33 lots manually. that would mean that the audnzd could go up as much as another 10-20-30 ranges and my margin would remain the same, meaning i could just leave it there till the market came back around. so that means i could never bust an account.

have i missed somehitng here? could it be that easy? let me hear what you guys think.

thanks

[peteronmaui]

It looks easy but it's hard to do, because you don't know when the market is going to come back around and go the way of your original positions. Worst case it turns once you put on your 'hedge'. and you end up with 0.33 long lots. It's just like getting into a long position and getting out when it turns. Isn't that what we all would like to do?

[only20gp]

Originally Posted by peteronmaui

It looks easy but it's hard to do, because you don't know when the market is going to come back around and go the way of your original positions. Worst case it turns once you put on your 'hedge'. and you end up with 0.33 long lots. It's just like getting into a long position and getting out when it turns. Isn't that what we all would like to do?

am not sure i understand what you mean. you said you dont know when the market is gona come back around, well, even if it takes 1 or 4 months, i dont mind as long as my free margin stays the same because id have 0.33 lot on buy and 0.33 lots on sell. and then you said what if it turns once i start the hedge , well, i could just have a stop loss for the buy at about 2 or 3 ranges below. then all i would loose would be the spread for 0.33 lots which i think is better than blowing an entire account.

im probebly not understanding what you saying, would appriciate if you could elaborate in a simpler way, sorry im abit new to trading.

thanks peteronmaui

[pipdetector]

Originally Posted by only20gp

am not sure i understand what you mean. you said you dont know when the market is gona come back around, well, even if it takes 1 or 4 months, i dont mind as long as my free margin stays the same because id have 0.33 lot on buy and 0.33 lots on sell. and then you said what if it turns once i start the hedge , well, i could just have a stop loss for the buy at about 2 or 3 ranges below. then all i would loose would be the spread for 0.33 lots which i think is better than blowing an entire account.

(...)

Imagine that you started hedging and the market turns 2 or 3 ranges below you are 0.33 x 3 down on this trade -- which means that your profits from short positions is gone. What if the market gets locked in sidewise movement at the upper range . If you repeat the hedge operation a couple of times it will take a lot of time to get even...

[peteronmaui]

Ok, let me try
'best case scenario' is that the price takes off and you are protected by having the hedge , and then it does not matter how long it takes. Worst case scenario is that the market starts ranging between the level of your hedge and the level of your stop. So you have to be there physically, day and night, once your stop is hit, in order to place your hedge again, just in case. You lose your profit from the trades plus the spread , which can be quite a bit with the audnzd. If you place the hedge 4 ranges above your last position, you also lose those 4 ranges. Just look at an hourly chart, and see how often price can go back and forth within a few days...as it did lately. So, with having that hedge at the 'wrong' level, the advantage of RM to capitalize on the oscillation can cost you quite a bundle, if you hedge and get stopped out too many times.