Hyper EA 2.3 Logo
Price: $99

Hyper EA 2.3

Added on May 29, 2012 05:55 AM
(4 / 5)
Trading style: scalping
Currency pairs: EURCAD
Time frame: M15
Money-back guarantee: 30-day
NFA compliance: Yes
License: 1, 2 or 5 real accounts licenses

Hyper EA is developed by the EForex trading company. The focus of this EA is to offer a win-win strategy of capital protection and high profit generation, through proactive monitoring and management of financial risks associated with forex trading. We offer you a detailed review of the product, so that you get more information to evaluate whether it is the right EA for your needs and risk appetite.

 

Basics - The Key Features and the Strategy Behind It

The Hyper EA is based on the moving average and RSI indicators in combination with other factors. Trades are executed prior to the start of the Asian trading session, when there is low volatility. This EA may not work well on a trending market, and is best used when the markets are relatively flat. Trades are entered into in the hope of a price channel, and trades are closed typically within an hour of trade.

It has a scalping strategy and works best on the EURCAD currency pair. The developers have now introduced seven new currency pairs that it can work on, in the pro version.

The default timeframe is M15. It has a stop loss of 50 pips. However, most test results show that it closes the trade much before it hits the stop loss, thus the actual loss in the event of a bad trade could be much lesser.

Being a scalping strategy, it offers relatively very less drawdown. Thus, if you would rather make moderate gains, but ensure that your capital is protected and that you remain in the market for long, then this is the right EA for your needs.

The developers have focused on risk management quite keenly. Just the fact that it does not opt for a martingale strategy shows the risk averse nature of the developers.

If you have an aggressive risk appetite then you may not like to use this EA. After all, this EA is meant for someone who knows the forex market well, and wants to use it as one of the vehicles of investments and not as a get rich quick scheme. Thus, the majority of people who buy an EA expecting spectacular returns will be disappointed with Hyper EA. However, connoisseurs who stick to this EA shall have the last laugh, thanks to the effects of compounding. This is because, while those opting for the aggressive EAs will soon crash and burn, the ones using Hyper EA are likely to remain active in the market for fairly long periods of time generating modest returns which over a long period of time will translate to a large amount. 

Back Tests

It does perform well in back tests. However, it is clear that there has been no manipulation of charts or curve fitting that has taken place just to show better returns – primarily because, they don’t offer any back test results in their website and all the results that you see online are run by independent third parties, thus giving more credibility to the results that you see.

Back tests for the period 2007 to 2011 using fixed spreads have managed to generate very impressive profits to the tune of $4699 on an initial deposit of just $300. However, tests run using real spreads for the period, could not replicate the same success pattern. Back tests have limited value in predicting future returns and it should be used as a tool to understand the EA better in terms of its underlying risk management patterns and crisis handling capability. It will also give an indication of how long you capital is going to last.

Forward Tests

The official account being tracked at myfxbook.com using an initial deposit of $500 shows an impressive gain of 81.94% and a drawdown of 12.70% as on 18 January 2013. It had touched a high of $1029 during the trade period. The draw down have suddenly gone up post Oct 2012 and this could be an indicator that the best part of the EURCAD story is already over – at least for a scalping strategy. The best trade was 13.2 pips while the worst trade actually hit the really deep Stop loss of 50 pips. The average trade window was 40 minutes. The average win was 4.66 pips ($7.36) and the average loss was 2.95 pips ($8.15). The winning trades were just 67% and this could be a source of worry. With such low margins per trade, you would want the EA to generate a larger % of winning trades.

While using a scalping strategy such as this one, you have to keep in mind that it is not an aggressive strategy which would give you triple digit returns in a couple of weeks. The main goal is to protect the capital, by minimizing the drawdowns and still generate enough returns for users to be interested in the product.

Since it is a low risk strategy with a long term account protection design motive, the profits are also not spectacular. However, if you are a smart trader, you will realize that even an average of 4% per month can give you spectacular returns over the long term provided you do not crash and burn out due to the margin calls

Conclusion

One negative factor that may work against this EA is the choice of the currency pair. The EURCAD currency pair may not have sufficient liquidity in the Asian session and this can adversely affect the profitability of the EA.

The licensing model of this EA is fairly affordable. They have a lite version for as low as $99 which gives you one live account. There is also a standard version for $139 and a premium version for $239 which offers 2 live accounts and 5 live accounts respectively. The pro version also allows it to be configured for other currency pairs. However, results of this EA for other currency pairs have not been studied and hence if you are a novice user, it is best to stick to what it does best – the EURCAD currency pair.

This EA is NFC compliant, so unlike other EAs which are not NFC compliant, you need not go ins earch of an offshore broker to carry out your trades. What is more, they also offer a 30 day refund policy. It is best to use this period to thoroughly learn about the behavior of this EA, before you decide to use it on a live account. As for any forex EA product, you must not hesitate to demand a refund, if you feel that you are not confident about committing your money to its hands.


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