Bonanza EA works on gold at the H1 time frame and requires a minimum trading balance of at least $300. The developer claims that the algorithm does not implement risky strategies such as grid and martingale. To observe the true output of the system and see if it would fit our portfolio, we will analyze the robot and make a conclusion on its profitability.
Bonanza EA Gold: to trust or not to trust?
Bonanza EA uses a high stop loss and a small take profit to trade the markets. This gives us an extremely poor risk-reward scenario which makes the robot impracticable in the financial markets. It can result in a high loss through a single execution, so traders should be careful with it.
The robot has the following features:
- It does not use grid or martingale in trading.
- There is a hard stop loss and take profit for each position.
- The system is not broker sensitive and is super easy to install.
- Traders can use auto money management which will determine the lot size before each trade.
To get the service up and running, you the following steps:
- Open a trading account with a broker and purchase the EA from MQL 5
- Login at the MT 4 platform and refresh your experts’ tab
- The robot will appear on the list
- Attach it to the charts to start trading.
The robot uses built-in indicators to trade precious metal gold at the H1 time frame. As mentioned before, there is no grid and martingale involved. The developer states that the system uses its own price action techniques for trading. There is a stop loss and take profit attached to each trade, and the system can work with a minimum of $300 in the account. Through the history, at MQL 5 marketplace, we can observe a high stop loss of 200-300 pips with a small profit of 1 to 10 pips which gives a poor risk-reward.
The EA is available for an asking price of $499. Traders can also rent it for a single month at $300. There is no money-back guarantee.
Backtesting results are available through an image that only shows a single line on the chart. Traders can observe that there is no detailed statement or performance statistics which raises many questions about the nature of testing. We cannot trust such a record.
Verified trading records are available on MQL 5 that show performance from August 14, 2021, till the current date. The system made an average monthly gain of around 14%, with a drawdown of 19%.
The winning rate stood at 99.02%, with a profit factor of 2.53. The best trade was $14.20, while the worst was -$352.54 in a total of 103 trades. The developer made $1000 in deposits and $0 in withdrawals on a demo account.
The current drawdown of the system is a bit high and will likely increase due to the implementation of a big stop loss. The robot can cause a margin call on the account if it continues to use such an exit point on the executions.
Elizaveta Erokhina is the author of the product who resided in Russia. She has a total rating of 4.4 for eleven reviews.
The developer has six products published on the MQL 5 marketplace and has 65 subscribers. The MQL 5 website dictates that she has no experience in the financial markets.