[B]Website : Not currently available
Publisher : Richard Hill
Cost : £247 with Agora 60 day guarantee
Review Date : February – April 2010

WHAT IT SAYS ON THE WEBSITE

Richard Hill is a “quiet fisherman” who has exposed “his secret to stress free Forex profits, swapping the trading floor for a fishing net”. He “left the trading floors of Hong Kong and moved back to England to make (his) own way in the world of Forex”. This is a system Richard uses “personally to net monthly tax-free profits ... And, on average, it takes about 10 minutes each morning”. He has no plans to stop using the system and provides weekly updates detailing the trades generated for the previous week.

It doesn’t matter “who you are, what you do, or how much time you’ve got to spare during the day, you could do this”. “Even if you never thought you’d ever place a ‘trade’ in your life, even if the only ‘Forex’ experience you’ve got is changing your money for your summer holiday”, Richard is “100% confident that with my help you’ll be able to do this”, in less than a week.

“Setting up your trap couldn’t be easier. You just have a quick look for one simple signal and if it’s there you click your mouse a couple of times and then walk away”. The system is traded at 06:30 (UK Local time).

No expensive software or trading programs are required and for any issues, Richards direct email address is provided.

Beta-testers, in September made £1,200, £560 in October and a further £2,210 in November (2009) for “just ten minutes each morning”. To date the system has not had a losing month.

The system is provided with a 60 day no obligation guarantee, backed by Agora.

THE MATERIAL

Net Trap comes in the form of a 65 page manual.

The manual confirms that Net Trap is traded at 06:30 UK Local time and that it trades just GBP/USD. An additional check is also required at 08:30 whereby on occasion some simple trade management is applied.

On page 7 of the manual the bulk of the system is quite clearly explained with the remainder of the manual being mainly for beginners and those wanting to know a little more about the guts of the system. It details what the strategy is about and goes into quite some detail about opening a Spread betting account, placing orders, stops, targets etc.

Also covered off is some Risk/Money management as well as some well documented examples.

In our opinion, a print out of the one page guide (page 7), a quick flick through the rest of the manual and some note taking should be sufficient for anyone with even just basic trading experience.

THE SYSTEM

A really simple strategy based on just one instrument, GBP/USD on the 15 minute timeframe with one simple indicator, a moving average. It was easy to set up on our IG Index charts and in actual fact it should take less than 60 seconds for most on any trading platform.

The system is traded once a day at 06:30 (UK Local time) and we traded the system on a real account from the end of March to the end of April, 5 weeks.

The system is really simple to operate so long as you are up at 06:30 and have had at least one sip of coffee. Entry is 100% mechanical (see subsequent posts), we even managed to write our own indicator for IG Index advanced charts to tell us if there was a trade and, if so, what our exact Entry, Stop and Target was.

So, in terms of simplicity this system really is 100% mechanical (see subsequent posts) and takes less than the advertised 10 minutes. Actually 60 seconds should be plenty of time for most, especially those that write their own indicator based on the simple entry rules. Stops and Targets are fixed, at 30 and 50 pips respectively, so they are also 100% (see subsequent posts) mechanical.

Note: Regarding self developed indicators including our own - Please do not ask for or post indicators in this forum as we do not wish to be involved in any potential conflict.

Apart from the quick check and order placement (when appropriate) at 06:30 there is also another check to be made at 08:30. This is because, if a trade is still open at this time (the Stop or Target has not been hit) the trade must be manually closed out. This does not involve looking at charts and should be more than manageable on any decent mobile phone depending on your phone and broker functionality.

CAN IT WORK

In short, yes. During the time we ran the system on a real account (late March to end April) we made a profit as follows:

• 23 Trading days
• 11 No trade days
• 7 winners, 4 losers and 1 break-even trade
• Net profit of 112 pips, circa +7%

We also did some back-testing, over the last couple of months (February and March 2010) with the following theoretical results:

• February: +51 pips, circa +3.5%
• March: +124 pips, circa +8%

April (which was all traded in real-time) showed a net profit of +34 pips, circa +2%.

Note: % returns are based on risking 2% of account balance per trade with a fixed stop loss of 30 pips.

Compared to the actual results reported by Net Trap, we had a few discrepancies over the period February 2010 – April 2010. These were, in the main, related to broker execution and some slight discretion in relation to trend confirmation. The latter is probably the one aspect of the system where differing brokers will give different signals and thus different results.

Net results, however, over the 3 month period were quite similar. We achieved a total profit of 209 pips against the official results of 271 pips. Close enough considering some of our results were based on back testing and that we were also new to the system.

This is the kind of system we like, it ticks a lot of our boxes, which many of you are now familiar with. The timing suits us, it is 100% mechanical (especially if you translate the rules into an indicator - (see subsequent posts)), it’s almost effortless and has also proven profitable (albeit over a short period of time).

We will be continuing to trade this system in real-time with the potential view of adding it to our Systems We Use list. A little more due diligence is appropriate for a system we have only been running in real-time for 5 weeks. We will of course be reporting back and will make our decision in due course.

SUPPORT

We had no reason to contact support so cannot comment.

CONCLUSION

PRO's
• Two minutes a day (max).
• 100% mechanical (especially if you translate the rules into an indicator - (see subsequent posts)).
• Profitable (albeit over a short period of time).
CON's
• Limited results, just 2 months back-test and 5 weeks real-time.
• Timing, 06:30 UK Local time, may not suit some.


Do remember, your comments are important and we welcome them.

ReviewTeam - www.systemsfortraders.com

Nice review, I will consider purchasing this as it ties in with my LFO trading.

Can I ask you, did you find results were correlated to LFO results at all (considering they are on the same instrument).

I have been using this since Jan and am amazed at how easy it is. I had no prior trading experience but managed easily as the book is so clear. The 60 day guarentee is also v good as you get an idea about wether it will work for you before you have to make a decision on whether to return it.
I bought it in a moment of madness in December after reading an ad on a moneyweek email, and so far it seems that it was a great decision. I have to close it at 8.15 as I'm in work at 8.30 but I have made an average of 55 pips /month so far. Not bad for 1 minutes work!

Hi Guys,

Thanks firstly for your feedback and interesting question, one we failed to even consider.

We didn't consider if there was a correlation because, although there are similarities, they are quite different beasts (Net Trap and LFO), the main one being that Net Trap is usually done and dusted by the time LFO orders are entered. However, we did have a look out of interest and observed absolutely no correlation at all results wise.

Wendy, all LFO results are posted on their website - perhaps you can comment on our observations of correlation if you have time, it would be appreciated, just to make sure we have got it right.

Thanks again guys, excellent value added there.


ReviewTeam - www.systemsfortraders.com

Firstly, v sorry I forgot to say thank you for doing such great reviews. They are a great help to those with much less experience like me! I have actually just bought the LFO after reading your review because it does tie in so well with Net Trap. I have to be near a computer at 8.15 anyway so the extra time is not too difficult. I did wonder if LFO would just shadow Net Trap so before I bought it I looked at the results on the site against my Net Trap log. Happily I can't see a correlation at all, I guess because they are looking at different things for the signal, and the time frames are different. Hope this helps.

It gives us great pleasure not just when members get value from our reviews but also when others confirm their accuracy, so thank you.

And, thanks for your observations on Net Trap vs LFO correlation, they are pretty much in line with our own.


ReviewTeam - www.systemsfortraders.com

Just thought I ought to add that I have missed one or two positive days due to work/silly errors so to be fair to the system the real results would be a bit better (and 8.30 close may be better). Also it's well worth checking your results with Richard Hills weekly updates to check every trade is correct.

We agree with your comments. And yes, it is useful, as we did, to compare performance with Richards weekly email.


ReviewTeam - www.systesmfortraders.com

This is another system that would be very "easy" for me in Calif. to trade.....just check the mkt. at 10:30pm (my time) and again at 00:30 and then go to bed. This can be traded with MT4 can't it ?
Also, thanks for using "pips" rather than $'s (or GBP's) when reviewing. Makes it much easier to compute "real " results.
Lastly, WENDY135, did you say your running average (5+ months) monthly return is 55-60 pips ? Is this the same as "Richard's" results on his web site ?
Thanks again to one-and-all....GREAT SITE !!!
KRLY

Hi,

Firstly, thanks for the kind words, they are appreciated.

You can use Net Trap with any broker - we believe the vendor uses IG Index for charting purposes so it is possible that on occasion you may get slightly different entry criteria with a different broker and thus slightly different results.

We will stick with the word pips as, yes, we agree, its much easier to compute.


ReviewTeam - www.systemsfortraders.com