BarroMetrics View: “I Thought I Had Seen it All” Revisited

In ‘I Thought I Had Seen  It All!, I wrote about offers that seemed to be too good to be true. Today I want to speak a reported outright fraud.

The Forex Peace Army is a site that rates forex brokers and reports on scams perpetuated on the public. It also offers a course on trading. I found the rating service and scam reporting useful. I have not tried their education service.

Recently there has been a massive campaign of a new forex system. I had been inundated by mail from a number of affiliate sources. When I read the ads, the mail went into my trash on the basis that ‘if it sounds too good to be true, it probably is’.

But the results appear to have been even more flawed than I suspected, The ad reported:

• profits of about US$42,000 trading two currency pairs in 15 days.
• profits of US$23,000 in 23 days trading one currency pair etc etc.

As proof it showed alleged trading records. Only one problem. When Forex Peace Army compared the trading records against a chart, they found that in a number of instances, the market was nowhere near the prices of the alleged trades.

Figure 1 is an example of what it found. The vertical lines represent the days the trades took place, the horizontal line where the trades supposedly took place. As you can see, prices were nowhere close to the reported trades.

Now, the results may have just been errors. So, the FX Army wrote to the developer of the system. The only response it received? The URL posting the results was taken down.  The question of whether the trades were an error or whether the ‘results’ were a deliberate attempt to defraud is still open to my way of thinking. But I’d certainly tread warily.

Of course the system comes with a money back guarantee: but remember that the guarantee  pertains to the purchase price - not your losses. I can forgive unintentional errors in the system’s testing; but on this case, I’d say there was the possibility of outright fraud. Pity, we certainly don’t need that.

FIGURE 1

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