In the world of forex trading, where markets are constantly evolving and prices fluctuate by the second, having a reliable trading advisor can make all the difference. Neurotron EA claims to be one such advisor, offering a strategy that capitalizes on price reversals during the London session while utilizing a blend of classic indicators and neural network analysis. In this comprehensive review, we will take a closer look at Neurotron EA, exploring its features, trading strategy, and parameter settings, while also emphasizing the inherent risks associated with trading.
Introduction to Neurotron EA
Neurotron EA is an automated trading system designed to operate during the London session, one of the most volatile and liquid periods in the forex market. The EA employs a unique strategy that focuses on identifying price reversals as they occur. According to the information available on the Neurotron website, the expert advisor combines classic indicators such as the Commodity Channel Index (CCI) and Bollinger Bands with neural network analysis to detect trading patterns.
One of the standout claims made by Neurotron EA is its high win rate, attributed to its well-configured indicators, filters, and artificial intelligence. Additionally, the EA is said to be capable of opening up to seven trades per signal cycle for each currency pair, potentially maximizing trading opportunities.
Safety Measures in Neurotron EA
Risk management is a crucial aspect of any trading strategy, and Neurotron EA appears to address this by implementing several safety measures. Notably, the trading strategy of Neurotron is described as safe because each transaction is independent of the others. This means that a losing trade in one cycle does not impact subsequent trades. Furthermore, each trade is safeguarded by an individual stop loss, which is a fundamental risk management tool that helps limit potential losses.
Requirements for Using Neurotron EA
To successfully use Neurotron EA, traders need to meet specific requirements as outlined by the developer:
- GBPUSD and EURCHF are the recommended currency pairs for trading with Neurotron EA.
- The ideal timeframe for Neurotron EA is M15 (15-minute chart).
- Neurotron EA is designed to operate during the London session, making it important to ensure that your trading hours align with this period.
- The use of a Virtual Private Server (VPS) is recommended, though it is left to the trader’s discretion. A VPS can provide a stable and uninterrupted environment for the EA to function effectively.
- Neurotron EA is best suited for ECN (Electronic Communication Network) or RAW account types. However, standard accounts are also deemed suitable if the spread on the recommended currency pairs does not exceed 3 points.
- A minimum deposit of $500 is required for trading with a lot size of 0.01 and leverage of 1:500. It’s important to note that the minimum deposit may vary depending on the broker chosen.
- The developer suggests using reputable ECN brokers, including but not limited to ic markets, fp markets, pepperstone, and axi trader. Choosing a reputable broker is essential for the success of any trading strategy.
Parameter Settings: LOT and Auto Risk
Neurotron EA provides flexibility in choosing between a fixed lot size or an automated risk percentage per trade. Traders can adjust these settings according to their risk tolerance and trading preferences:
Fixed Lot Size
- If you prefer to use a fixed lot size, you can set your desired lot size in the “Lot” field and set the “AutoRisk” value to 0. This allows you to trade with a consistent lot size for each trade.
Automated Risk Percentage
- On the other hand, if you opt for automated risk management, you can set your desired risk percentage in the “AutoRisk” field and set the “Lot” value to 0. The automated risk percentage calculates the size of each trade based on your risk tolerance. For example, setting the risk to 10 means that if a trade is closed by a stop loss, you will lose 10% of your deposit.
Testing and GMT Offset
Neurotron EA leverages neural networks that have been collecting market data and patterns since January 2022. It’s worth noting that the EA’s testing functionality is limited to data from January 1, 2022, onwards. This limitation is due to the rapidly changing nature of market behavior, emphasizing the importance of analyzing recent data.
To ensure accurate testing and operation of the advisor, it is crucial to set the correct GMT (Greenwich Mean Time) offset for your broker. The EA offers two parameters to account for time differences:
GMT (Greenwich Mean Time)
- This parameter represents the deviation of your broker’s time from Greenwich Mean Time. It is essential to configure this accurately to align with your broker’s time zone.
DST (Daylight Saving Time)
- Some brokers observe daylight saving time, while others do not. If your broker uses GMT+2 in winter and GMT+3 in summer (common for brokers like icmarkets, fp markets, pepperstone, and axitrader), you should set GMT to 2, even during the summer. The DST parameter will automatically adjust the time by one hour when daylight saving time is in effect. In essence, if DST is set to “true,” the EA will account for the shift in time during daylight saving.
For brokers that do not observe daylight saving time and maintain the same time throughout the year, the DST parameter should be set to “false.”
Risks and Considerations
Trading forex and using automated trading advisors like Neurotron EA carry inherent risks. It’s essential for traders to approach these strategies with caution and realistic expectations. Here are some key considerations:
1. No Guarantees
- There are no guarantees of profitability in trading. While Neurotron EA may have a high win rate, it does not assure consistent profits. Losses are also possible, and traders should be prepared for them.
2. Trading is Challenging
- Forex trading is a challenging endeavor that requires time, dedication, and continuous learning. Success is not guaranteed, and traders often undergo significant learning curves.
3. Risk Management
- Effective risk management is vital. While Neurotron EA implements individual stop losses for trades, traders should also have a broader risk management plan in place.
4. Past Performance Is Not Indicative of Future Results
- Just because Neurotron EA has collected data since January 2022 does not mean that past performance will necessarily predict future results. Market conditions can change rapidly, and historical data is not a foolproof indicator of future success.
5. Investment Capital
- Only invest what you can afford to lose. Forex trading involves the risk of losing your entire investment, and you should not trade with funds that you cannot afford to lose.
6. Broker Selection
- Choosing a reputable broker is critical. Ensure that your forex broker aligns with the recommended settings and provides a reliable trading environment.
In conclusion, Neurotron EA offers an intriguing approach to forex trading with its focus on price reversals and neural network analysis. However, it’s essential for traders to approach automated trading advisors with a clear understanding of the risks involved. The provided requirements, parameter settings, and considerations should be carefully reviewed and considered before using Neurotron EA or any other trading system. Forex trading is a challenging endeavor that demands knowledge, discipline, and a cautious approach.
Self-confessed Forex Geek spending my days researching and testing everything forex related. I have many years of experience in the forex industry having reviewed thousands of forex robots, brokers, strategies, courses and more. I share my knowledge with you for free to help you learn more about the crazy world of forex trading! Read more about me.