1 Important Notice
Please Read This Entire Risk Disclosure Carefully
Before purchasing, installing, or using RangeHunterPro V2, you must read and understand this Risk Disclosure Statement in its entirety. This document describes the material risks associated with automated trading in financial markets, leveraged products, and the specific risks of grid-based trading strategies.
Trading in financial instruments, including Gold (XAUUSD), involves a substantial risk of financial loss. You may lose some or all of the funds you deposit with your broker. Only trade with funds that you can afford to lose completely without impacting your financial stability or standard of living.
Past performance of any trading strategy, including any results presented in connection with RangeHunterPro V2, is not indicative of future results and provides no guarantee of profitability in live trading conditions.
This Risk Disclosure Statement is provided in the interest of full transparency and in accordance with applicable South African financial consumer protection standards. Range Hunter Pro is not a regulated Financial Services Provider (FSP) and does not provide investment advice. This document does not cover all possible risks; it highlights key categories of risk that you should understand before proceeding.
2 General Trading Risks
Trading in financial markets involves inherent risks that no software tool, algorithm, or strategy can eliminate. You should understand the following fundamental risks before engaging in any form of trading activity:
- Capital Risk: You may lose the entire amount of capital you deposit with your broker. Trading in leveraged financial instruments such as XAUUSD carries a higher risk of capital loss than many other investment types.
- No Guaranteed Returns: No trading system, strategy, or algorithm can guarantee consistent profits or protect against losses. There is no such thing as a risk-free trading strategy.
- Past Performance is Not a Reliable Indicator: Historical trading results, backtested data, or hypothetical performance figures do not guarantee that the same results will be achieved in live trading. Market conditions change, and strategies that have performed well historically may underperform or fail in future market environments.
- Backtesting Limitations: Backtested results are simulations conducted with historical data and the benefit of hindsight. They may not account for real-world factors such as variable spreads, execution slippage, liquidity constraints, requotes, and broker-specific conditions. Live trading results will differ from backtested results.
- Tax Obligations: Profits from trading may be subject to tax in your jurisdiction. You are solely responsible for determining and meeting any tax obligations arising from your trading activities.
3 Leveraged Products Warning
High Leverage Warning: Gold (XAUUSD) is traded on margin with leverage. Leverage amplifies both potential profits and potential losses. You can lose significantly more than you might expect based on the underlying price movement alone.
When trading leveraged products such as XAUUSD, you should understand:
- Leverage Amplification: Leverage allows you to control a large position with a relatively small deposit (margin). While this can amplify profits when a trade moves in your favour, it equally amplifies losses when a trade moves against you.
- Margin Requirements: Your broker requires you to maintain a minimum margin level to keep your positions open. If your account equity falls below the required margin level, your broker may issue a margin call, requiring you to deposit additional funds or face automatic closure of your positions at a loss.
- Stop Out: If you fail to meet a margin call or your equity reaches the broker's stop-out level, your open positions will be closed automatically at the prevailing market price, potentially realising significant losses.
- Negative Balance Risk: In extreme market conditions, it is theoretically possible for losses to exceed your deposited funds, resulting in a negative account balance. While many regulated brokers offer negative balance protection, this is not guaranteed. You should verify your broker's negative balance protection policy before trading.
- Variable Leverage: Brokers may reduce leverage limits during periods of high volatility, on specific instruments, or in response to regulatory requirements, which may affect the operation of the Software.
4 Grid Trading Specific Risks
RangeHunterPro V2 employs a grid-based trading methodology. Grid trading strategies carry specific risks that differ from single-position trading strategies and which are particularly important to understand before use:
Position Accumulation Risk
Grid systems open multiple positions as price moves against the initial trade direction. This means that drawdown can accumulate rapidly and significantly during sustained price trends in a single direction.
Extended Adverse Trend Risk
A prolonged, sustained price movement in one direction can cause the grid to accumulate a very large number of open positions, resulting in drawdown that may exceed acceptable limits before the market reverses.
Gap Risk
Price gaps occur when the market opens at a price significantly different from where it closed — common over weekends or around major news events. Gaps can skip over stop loss levels, resulting in worse-than-expected losses.
Spread Widening Risk
During periods of low liquidity or high volatility (e.g., major news events), broker spreads can widen significantly. This can trigger unintended grid entries or adversely affect grid position management.
Orphan Position Risk
Grid positions that are opened but not yet in profit may remain open for extended periods — days, weeks, or in worst-case scenarios, months — before market conditions allow them to be closed profitably.
Capital Adequacy Risk
Grid strategies require sufficient account capital to sustain open positions through drawdown periods. Insufficient capital relative to the grid settings may result in forced position closure at a loss due to margin constraints.
You are strongly advised to run RangeHunterPro V2 on a demo account for a minimum of one to three months and to thoroughly backtest the strategy across different market conditions before deploying it on a live account. Ensure that your account balance is appropriate for the lot sizes and grid settings you intend to use, based on your personal risk tolerance and the drawdown scenarios visible in backtesting results.
5 Automated Trading Risks
Using automated trading software introduces a category of risks that do not apply to manual trading. You must understand and accept these risks before running RangeHunterPro V2 on a live account:
- Software Errors and Bugs: All software can contain errors, bugs, or unexpected behaviour. A software error in an automated trading system can result in unintended trades being placed, positions not being managed correctly, or orders being placed at incorrect price levels or sizes. Range Hunter Pro makes no warranty that the Software is free of bugs or that all possible error conditions have been anticipated and handled.
- Internet Connectivity Failures: The Software requires a stable internet connection to communicate with your broker's trading server and with the Range Hunter Pro license server. Internet connectivity failures, latency spikes, or outages can prevent the Software from managing open positions, closing trades, or placing new orders. Positions opened before a connectivity failure may remain open and unmanaged.
- VPS Failures: If you run the Software on a Virtual Private Server (VPS), VPS hardware failures, maintenance windows, or unexpected reboots can leave your MT5 platform offline and your positions unmanaged. You should monitor your VPS uptime and ensure automatic restart procedures are in place.
- Broker Server Issues: Broker trading server outages, maintenance periods, or high-latency conditions can cause trade execution delays, failed order submissions, or incomplete position management by the Software.
- MT5 Platform Updates: Updates to the MetaTrader 5 platform may temporarily disable Expert Advisors or require the Software to be re-installed or re-configured. You are responsible for monitoring the Software's operational status after platform updates.
- License Server Dependency: RangeHunterPro V2 validates its license against the Range Hunter Pro license server. If the license server is temporarily unavailable, the Software may not function. While we make reasonable efforts to ensure server uptime, we cannot guarantee 100% availability and accept no liability for trading outcomes resulting from license server downtime.
We strongly recommend running the Software on a dedicated VPS located geographically close to your broker's trading server to minimise latency and maximise uptime. You should monitor the Software's activity regularly and not treat it as a fully hands-off solution.
6 Market Risks
The Gold (XAUUSD) market, like all financial markets, is subject to a wide range of external factors that can cause rapid, large, and unpredictable price movements. These include:
- Macroeconomic Events: Economic data releases (non-farm payrolls, CPI inflation data, GDP figures), interest rate decisions by major central banks (especially the US Federal Reserve), and global economic conditions can cause significant and sudden movements in the gold price.
- Geopolitical Events: Gold is frequently used as a safe-haven asset during periods of geopolitical uncertainty. Wars, political crises, terrorist events, and diplomatic tensions can cause rapid and extreme gold price movements that may not be predictable or manageable by any automated system.
- Central Bank Activity: Central bank gold purchases and sales, changes in reserve policy, and currency interventions can significantly impact the gold price.
- Flash Crashes: Flash crashes are sudden, extreme, and often unexplained rapid price drops or spikes that occur over very short timeframes. Flash crashes can cause stop losses to be triggered, margin calls to occur, or grid positions to accumulate rapidly before the market recovers. Flash crash recovery may not cover all losses incurred during the event.
- Market Structure Changes: Changes in market regulation, trading session hours, broker margin policies, or liquidity provider conditions can affect how the Software performs in ways that were not present during historical backtesting.
- Low Liquidity Periods: During weekends, public holidays, and overnight sessions with low market participation, spreads widen and liquidity is reduced. Price movements during low liquidity periods can be erratic and may adversely affect grid positions.
- Slippage: In fast-moving markets, orders may be executed at prices different from the requested price (slippage). Slippage can increase the actual cost of entering and exiting positions beyond what is reflected in backtesting results.
7 Not Financial Advice
RangeHunterPro V2 is a software tool. It is not a financial product, investment advice, or financial service. Range Hunter Pro does not provide financial planning, investment management, or trading advisory services of any kind.
You expressly acknowledge and understand that:
- Range Hunter Pro is not registered as a Financial Services Provider (FSP) under the Financial Advisory and Intermediary Services Act 37 of 2002 ("FAIS Act") and does not hold any FSP licence from the Financial Sector Conduct Authority ("FSCA") of South Africa.
- Range Hunter Pro does not provide investment advice, trading signals, portfolio management, or any other financial advisory or intermediary services as defined under the FAIS Act or any other applicable legislation.
- Range Hunter Pro does not hold, manage, or safeguard client funds at any time. All trading funds remain in your own brokerage account at all times.
- The decision to deploy and operate RangeHunterPro V2 on your trading account is your sole decision. You are fully and exclusively responsible for all trading decisions, outcomes, and financial consequences arising from the use of the Software.
- No information provided by Range Hunter Pro — whether on its website, in its marketing materials, in product documentation, or through customer communications — constitutes a financial product recommendation, investment advice, or a solicitation to buy or sell any financial instrument.
- Before using any automated trading software, you should seek independent advice from a licensed financial advisor (an authorised FSP) who can assess whether automated trading in leveraged products is appropriate for your financial circumstances, investment objectives, and risk tolerance.
8 Suitability
Automated trading in leveraged financial products is not suitable for all investors. Before using RangeHunterPro V2, you should honestly assess whether automated Gold trading is appropriate for you by considering the following:
- Risk Capital Only: You should only trade with funds that you can afford to lose completely. Do not trade with money that is needed for essential living expenses, retirement savings, emergency funds, or any other purpose where a total loss would cause financial hardship.
- Understanding of Risks: You should have a thorough understanding of the risks described in this document and in our Terms and Conditions before using the Software. If any aspect of this Risk Disclosure is unclear, please seek clarification before proceeding.
- Experience and Knowledge: You should have sufficient experience and knowledge of financial markets, trading platforms, and automated trading systems to operate the Software safely and to respond appropriately when market conditions require manual intervention.
- Demo Testing: We strongly recommend that you test RangeHunterPro V2 on a demo account for a minimum of 1 to 3 months before using it on a live account. Demo testing allows you to observe the Software's behaviour across different market conditions without risking real funds.
- Monitoring: Even though the Software is automated, you should monitor its operation regularly. Do not treat it as a fully passive, hands-off investment. Market events may require you to intervene, pause, or stop the Software.
- Broker Due Diligence: Before connecting the Software to any live account, ensure that your broker is regulated by an appropriate financial regulatory authority in their jurisdiction and that their trading conditions (spreads, execution model, leverage) are suitable for the Software's operation.
9 FAIS Act Disclaimer
In accordance with the Financial Advisory and Intermediary Services Act 37 of 2002 ("FAIS Act") of South Africa, the following declarations are made:
- RangeHunterPro V2 does not constitute a "financial product" as defined in the FAIS Act.
- The provision of RangeHunterPro V2 as a software tool does not constitute a "financial service" as defined in the FAIS Act, and specifically does not constitute "financial advice" or an "intermediary service" as defined therein.
- Range Hunter Pro does not hold a Financial Services Provider (FSP) licence issued by the Financial Sector Conduct Authority (FSCA) of South Africa and is not authorised to provide financial advice or intermediary services.
- Users are solely responsible for ensuring that their use of automated trading software, including RangeHunterPro V2, complies with all applicable laws and regulations in their jurisdiction, including but not limited to the FAIS Act, the Financial Markets Act 19 of 2012, and any exchange control regulations.
- If you are unsure whether the use of this Software is appropriate or lawful in your jurisdiction, you should consult a legal advisor or a licensed FSP before proceeding.
The Financial Sector Conduct Authority (FSCA) can be contacted at www.fsca.co.za for information about regulated financial services and to verify the registration status of any FSP in South Africa.
10 Acknowledgment
By purchasing, downloading, installing, or using RangeHunterPro V2 in any form, you confirm that you have read, understood, and accepted this Risk Disclosure Statement in its entirety, and you acknowledge and agree to the following:
User Acknowledgments
- I have read and understood the complete Risk Disclosure Statement for RangeHunterPro V2.
- I understand that trading Gold (XAUUSD) and other leveraged financial instruments involves a substantial risk of loss and that I may lose some or all of my invested capital.
- I understand that past performance of any trading strategy, including results presented in connection with RangeHunterPro V2, is not indicative of future results.
- I understand that grid trading strategies carry specific risks including position accumulation, extended drawdown, and gap risk.
- I understand that automated trading software carries technical risks including software bugs, connectivity failures, and platform issues.
- I accept that Range Hunter Pro is not a regulated FSP, does not provide financial advice, and that I am solely responsible for my trading decisions.
- I confirm that I am trading with risk capital only — funds I can afford to lose completely without financial hardship.
- I confirm that I am at least 18 years of age and have the legal capacity to engage in trading activities in my jurisdiction.
- I accept full and sole responsibility for any and all trading losses, drawdowns, or financial harm arising from my use of the Software.
- I have been advised to seek independent advice from a licensed FSP before using this Software and have had the opportunity to do so.
Your continued use of the Software constitutes your ongoing acknowledgment of and agreement to these risk disclosures.
Range Hunter Pro
Email: [email protected]
Country: Republic of South Africa
If you have questions about this Risk Disclosure or require clarification on any risk described herein, please contact us before using the Software.
This Risk Disclosure Statement is provided for informational purposes and does not constitute legal or financial advice. The risks described herein are not exhaustive. Consult a qualified attorney or licensed financial advisor (FSP) before making any trading or investment decisions.