At the heart of the MetaTrader 4 platform is its automated trading environment which lets users develop Expert Advisor (EA) strategies to trade automatically for them. The platform also allows for the distribution of EAs to other users, where the strategy can be run, but not opened to be changed or view its underlying code. This feature has led to a plethora of EA developers marketing profit-making automated strategies to retail traders. Among the pages that market the plethora of these trading robots are depictions of previous results, as well as MetaTrader 4 reports showing its performance and quick gains.
Taking issue with an EA marketer, XTB is warning against Forex Double and its trading robot. Included within Forex Double’s pages are copies of MetaTrader 4 trading results, along with citing three brokers and login credentials to verify results. The three brokers are XTB, FXDD, and much lesser known West Valley Consultantcy LTD (MWC) which is affiliated with Number1Forex.
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According to XTB, Forex Double isn’t authorized to display its name in advertisements, as well as adding “disregard any communication that you receive from this site as they are providing false information.” Of the three brokers, the credentials provided to log into an XTB account yielded ‘no connection’, compared to successfully logging into accounts for both FXDD and MVC. However, the FXDD account is clearly marked as demo.
While MT4 trading reports are widely used by EA marketers as well as money managers, they aren’t viewed as reliable. The reports themselves can be photoshopped to show positive gains. In addition, even when report documents are authentic, the actual traders can be modified from the server side and are easily edited by any broker using the MetaTrader 4 Manager. Due to the ease that trading results can be altered on the server level, there is always a worry that marketers using MT4 reports to promote their robot trading performance isn’t authentic. In addition, due to the ability for a broker to fund fake accounts and generate volumes without them affecting their bottom line, broker volume reports that are solely based on MT4 reports are also not viewed as authentic unless proven to show only trades from actual funded accounts.