I just logged into my FXCM account to check up on how GalleonFX is managing my account, and to my dismay all the profits gained have been given back to the market. What can I say, I am naturally disappointed and I must admit I lost a bit of my initial fervor about GalleonFX. I kept a close eye on the opened positions in my test $1,100 account. At one point my account was up as high as $1500, but now as I speak it’s down to $1131! Right now I am sitting on a -$101 floating P/L (profit/loss). So, what is my opionion on this as far as why the crappy performance. Well, ever since I opened my account I noticed that while galleonfx give some pretty good entry signals, it really sucks at exiting out of profitable positions. I suppose their thinking (the programmers behind the automated trading sytem) is to avoid cutting a winning trade short, but what often happens is that a trade that is let’s say $200 in profit more than often ends up being a mediocre $23 or so gain, or even worse, a loss! I am not a forex expert by any means but I get the impression that galleonfx is running some sort of hedge and taking profits as a certain volatility level is reached which triggers the system to exit out of the trades if they are in profit. Perhaps those of you more knowledgeable can enlighten me.
The month is not over so I guess I still have a chance to end up with a mediocre profit- who knows! The only conclusion that I guess I can draw is that it might not be advisable to open an account with GalleonFX with just $1000 as they are currently offering (offer ends at the end of the month). Given the volatility that I’ve observed having such a small account size might not be a good idea.
Just my two cents. Hope to hear your opinion.