risk disclosure
1. Nature of Trading Risk
Forex and CFD trading involves significant risks including but not limited to:
- Leverage risk: Small price movements can result in proportionally larger losses
- Volatility risk: Gold (XAUUSD) can move 100+ pips in minutes
- Margin call risk: Your broker may close positions at unfavorable prices
- Slippage risk: Orders may execute at worse prices than expected
- Gap risk: Markets may open at very different prices over weekends
- Liquidity risk: Difficulty exiting positions during news events
- Technology risk: Internet, VPS, or broker outages
2. Algorithmic Trading Specific Risks
Automated systems like THARΞX EA introduce additional risks:
- Strategy failure: Markets change; what worked historically may not work in the future
- Drawdown periods: Even profitable strategies experience extended losing streaks
- Grid/martingale exposure: THARΞX uses grid-based recovery — accounts can experience large open drawdowns before recovery
- Black swan events: Unexpected market moves (e.g., war, banking crises, central bank surprises) can wipe out accounts
- VPS/connectivity failure: EA cannot manage trades if disconnected from MT5
- Broker conditions: Changes in spreads, swaps, or execution can affect profitability
3. THARΞX EA Specific Disclosures
Trading approach
THARΞX EA uses a grid recovery strategy on XAUUSD. This means:
- It may open multiple positions in the same direction during drawdowns
- It aims to recover losing trades by averaging entry prices
- Total exposure can grow significantly during adverse market conditions
- Account equity can experience large floating losses before take-profit triggers
Past performance
All performance data shown on tharexea.com (verified MT5 screenshots, charts, statistics) reflects historical results on real or demo accounts. Past performance does not guarantee future results. Your actual results will vary based on:
- Your broker's execution quality and spreads
- Your starting capital and risk settings
- Market conditions during your trading period
- Slippage, swaps, and other costs
- Your discipline in following the EA's parameters
4. Recommended Practices
To reduce (but not eliminate) risk:
- Start with the 7-day trial to evaluate the EA before commitment
- Use a small amount of capital initially (consider Cent account)
- Use the recommended broker (Vantage Markets) for proper conditions
- Never risk more than you can afford to lose
- Use a reliable VPS to minimize disconnections
- Monitor your account regularly
- Keep a trading journal
- Consult a financial advisor if unsure
5. Regulatory Status
THARΞX EA is a software tool, not a financial product. We are NOT:
- A licensed broker, dealer, or financial advisor
- Registered with SEBI, RBI, FCA, ASIC, CFTC, or any regulator
- Holding any client funds
- Providing investment advice
All trading takes place in YOUR broker account. We have no access to your funds or trades beyond what the EA executes locally on your MT5 terminal.
6. No Advice
Nothing on the THARΞX website, in our software, in our communications, or from our team constitutes financial, investment, legal, or tax advice. We provide a software tool only. All decisions are yours.
7. Acknowledgment
By using THARΞX EA, you acknowledge:
- You have read and understood this risk disclosure
- You understand that you may lose your entire investment
- You are not relying on us for investment advice
- You are using risk capital you can afford to lose
- You release THARΞX from any liability for trading losses