No Loss Robot Review
When it Sounds Too Good to Be True It Usually Is..
The No Loss Robot generated quite a lot of interest when it was launched on 1 November 2009. The sales page claims that it uses an advanced trading method and trend detection algorithm to achieve a 100% success rate and absolutely no losing trades. The immediate question that comes to mind is – what’s the catch? I decided to test this robot and see for myself… 
Once I activated the No Loss Robot in my demo account I quickly discovered that it does in fact never close a trade with a loss, but there is definitely a catch and it’s a big one. The problem lies in the way that this 100% success rate is achieved.
The No Loss Robot uses no stop loss. Instead, it will stay in a losing trade until it turns a profit, no matter how long it takes. If you look at my 1 month test statement below you will see that there a 9 open trades and all of them are in significant drawdowns, waiting to turn a profit. All the closed trades have made a profit of $700, but the open trades are currently -$2260 in the red, so my net position is actually -$1560. The big problem is that there is no stop loss on any of those open trades, so there is nothing to prevent further losses.
If you look at the number of trades that were closed with a profit, there is no doubt that the No Loss Robot uses a highly effective strategy and that most of those open trades will probably close with a profit eventually. However, there is always the chance that 1 of those trades will just go further and further into drawdown until you account is eventually wiped out with a margin call.
No matter how effective your trading strategy is, it’s never safe to trade without a stop loss. It may take a month, it may take 2 years, but somewhere along the line there will be a trade that just wipes out everything you have. This is definitely a fun and exciting way to trade, but personally I don’t have the nerves to handle those big drawdowns and I really recommend that you consider one of the other robots on my top 5 list.
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No Loss Robot Test Results
I tested the No Loss Robot for a period of 1 month and the results were as follows..
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Conclusions and Recommendations
While it is true that the No Loss Robot never closes a trade with a loss, it uses a very high risk strategy to achieve this. Drawdowns are not necessarily the big problem, but the fact that there is no stop loss to prevent a trade from running away makes this robot unsafe to trade with. See the Top 5 Forex Robots page or sign up to my weekly newsletter to the right of this post for my latest recommendations.
