FXCIPHER is a Forex expert advisor that trades in multiple currency pairs. It works on the basis of two built-in presets and is compatible with both Metatrader 4 and Metatrader 5.
On the official website, the vendor made a brief presentation, highlighting the main features and sharing the links to a couple of live trading accounts on Myfxbook. We also have the backtesting results, the pricing details, and a contact form that you can use to seek assistance from the service team.
There is virtually nothing about the company behind FXCIPHER. There is nothing on the official website that tells us about its background and location. We don’t know whether the developers and traders working for this organization have adequate technical knowledge, and there is no official contact information provided.
You can purchase this robot for the price of $295. This is not exactly cheap compared to the average price for EAs on the market. By purchasing, you get access to a single user license, separate versions of the EA for MT4 and MT5, as well as a user manual. The vendor has a 30-day refund policy that you can avail of provided your account drawdown is more than 35%.
According to the information provided, with FXCIPHER we can trade in USD/CAD, GBP/USD, EUR/JPY, EUR/USD, and AUD/USD. It has a preset selection mode that lets you choose between two settings. One of these has been optimized since 2010 while the other has been optimized since 2017. The vendor claims that the second preset provides high profitability, but this is something we need to verify.
FXCIPHER has a drawdown limiting system that lets you specify the maximum level of drawdown in the EA settings. If the drawdown exceeds the threshold, it forcibly exits all trades.
FXCIPHER trading approach
Although the vendor has mentioned the EA having two in-built strategies, they haven’t explained either of them. It is important for a trader to know how the trading strategy works before investing in an EA. Different traders have different trading styles and it makes little sense to invest in a system that follows a strategy you’re not comfortable with. The lack of strategy insight is a major red flag that raises some questions about the system’s reliability.
Here we have the results for a backtest conducted between 2010 and 2021 with 90% modeling quality. The EA placed a total of 4507 trades during the testing period, winning only 48.08% of them and generating a total profit of $393282.14. Most EAs have higher win rates compared to this, which makes us think the system is not as profitable as the vendor paints it to be.
FXCIPHER live trading results
This trading account on Myfxbook using the 2017 preset has been active since September 24, 2020. After placing 222 trades, the win rate for this account currently stands at 55%, which is a bit higher compared to the backtesting results, but still not too impressive.
The daily and monthly gains for this account are 0.46% and 14.76%, respectively, while the drawdown is extremely high at 51.22%. While the vendor mentions the system having a drawdown limiting system, it seems the robot is not able to control the drawdown effectively.
By analyzing the trading history, we can confirm the fact that the EA uses a high-risk strategy. There have been consecutive losses suffered by FXCIPHER during recent times, which is a major cause for concern.
What are the risks with FXCIPHER?
FXCIPHER is not a reliable trading system, primarily because of the poor live trading performance. The profitability is relatively low compared to other EAs and the drawdown is much too high. Other risks include the lack of strategy insight and vendor transparency.
We were unable to find any user reviews for this robot on websites like Quora, Myfxbook, Trustpilot, and Forexpeacearmy. This indicates a lack of reputation.
What are the pros and cons of investing in FXCIPHER?
|Money-back guarantee||High drawdown|
|Lack of strategy insight|
|Lack of vendor transparency|
As you can see, FXCIPHER has too many shortcomings. There is no way we can recommend using a robot that fails to maintain transparency and performs poorly in the live market.
FXCIPHER is an EA you should avoid at all costs. It trades with high drawdown and uses high-risk strategies that lead to heavy losses. At its price, you can find robots with better live statistics that are transparent about their strategies.