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Forex Robots
Forex Robots provide an exciting way of earning profits in the online Forex market. Without forex robots, we could still be hooked to the traditional methods of trading. For a long time, profiting from currency trading required that you undertake thorough technical analysis, always follow the news, carry out extensive fundamental analysis, and hook yourself to a computer screen watching price charts.
Most traders understand that this is very strenuous and could lead to burnout, which could magnify losses instead of profits. With this realization, automatic trading technologies have surfaced to make trading easier, lower risks, and increase the chances of getting more profits.
So, What is a Forex Robot?
A forex robot also called an Expert Advisor (EA), is a piece of software with inbuilt programmed rules that automatically make trade entry and exit decisions on MetaTrader 4 platform for Forex trading.
Here are some functions Expert Advisors can do.
– Initiating trades
– Managing opened positions
– Exiting trades
– Generating signals for the trader
– Copying trades to other trading platforms
– Trading automatically round-the-clock
– Initiating trades
– Managing opened positions
– Exiting trades
– Generating signals for the trader
– Copying trades to other trading platforms
– Trading automatically round-the-clock
In manual trading, a trader normally establishes the trading rules and then follow those rules every time she or he wants to enter or exit a position.
As such, a manual trader has to glue himself or herself in front of a computer screen and wait for the appropriate time when the criteria for making a decision fits with his or her rules—something which is tiring and complicated.
With robot trading, the trading rules or strategies have been ingrained in a computer program, and your trade decisions will be made automatically without your intervention.
With robot trading, the trading rules or strategies have been ingrained in a computer program, and your trade decisions will be made automatically without your intervention.
Sounds interesting?
Here are some benefits of using automated trading systems.
Here are some benefits of using automated trading systems.
– Ability to trade non-stop
With a trading robot, you can trade profitably 24 hours a day and increase your profits. After you’ve coded your strategies on a robot, it will perform the buy and sell actions while you spend your time on the beach.
With a trading robot, you can trade profitably 24 hours a day and increase your profits. After you’ve coded your strategies on a robot, it will perform the buy and sell actions while you spend your time on the beach.
– Removes emotions from trading
One of the main reasons why traders fail is emotional trading. However, a forex robot lowers or eliminates emotions from the trading equation and give you a reliable way of earning money.
A robot cannot fear to make a trade neither can it start making greed-driven decisions.
One of the main reasons why traders fail is emotional trading. However, a forex robot lowers or eliminates emotions from the trading equation and give you a reliable way of earning money.
A robot cannot fear to make a trade neither can it start making greed-driven decisions.
– Reduces trading errors
Automated trading systems can perform complicated calculations without making errors.
Since humans can be at fault, traders normally find themselves making silly mistakes, which could have been avoided. Since robots make decisions based on preset rules, they greatly minimize trading errors.
Automated trading systems can perform complicated calculations without making errors.
Since humans can be at fault, traders normally find themselves making silly mistakes, which could have been avoided. Since robots make decisions based on preset rules, they greatly minimize trading errors.
Forex Trading With Robots
Forex trading with robots is growing in popularity around the world, mainly because of its benefits over manual trading.
Most traders have resorted to automatic trading as a way of allowing them to use multiple strategies to enter and exit trades.
Regardless of the number of strategies you have, you can program them into a robot, and your trades will be automatically handled for you—without the fear of losing any opportunity.
On the other hand, with manual trading, you are forced to use a single strategy each time you want to enter the market.
If you try using multiple strategies at the same time, it’s highly likely that you can lose concentration and make costly mistakes.
Furthermore, unlike manual trading, robot trading is not influenced by emotions and is independent of traders’ psychology.
An expert advisor will follow your predefined trading rules, regardless of the prevailing market condition.
If you try using multiple strategies at the same time, it’s highly likely that you can lose concentration and make costly mistakes.
Furthermore, unlike manual trading, robot trading is not influenced by emotions and is independent of traders’ psychology.
An expert advisor will follow your predefined trading rules, regardless of the prevailing market condition.
It will not enter into a panic mood whenever a trade goes the wrong way or make ill-timed revenge trades after a big loss. It will not suddenly feel ‘lucky’ and take another trade after a huge win.
Instead of getting emotional when something bad happens, a robot will follow your strategies to the latter while consistently providing you with a way of making good returns from your investment.
How Does a Forex Robot Works?
Basically, an expert advisor for MetaTrader 4 works by utilizing predetermined strategies or rules for making trade decisions.
The rules are programmed on a robot, which it uses to automatically enter and exit trades.
With implanted strategies, robots are capable of making trade decisions in a way that humans cannot.
Some robots can thoroughly and effectively scan the market looking for opportunities with high levels of accuracy than humans.
For example, if you have a successful trading strategy that relies on indicators, candlestick patterns, support and resistance levels, or other stuff, you can implant it on a robot, and just sit back and allow the computer program to do the hard work for you.
Furthermore, if a robot is programmed to make a sell order whenever a currency pair reaches a resistance level, it will obey those instructions always.
The rules are programmed on a robot, which it uses to automatically enter and exit trades.
With implanted strategies, robots are capable of making trade decisions in a way that humans cannot.
Some robots can thoroughly and effectively scan the market looking for opportunities with high levels of accuracy than humans.
For example, if you have a successful trading strategy that relies on indicators, candlestick patterns, support and resistance levels, or other stuff, you can implant it on a robot, and just sit back and allow the computer program to do the hard work for you.
Furthermore, if a robot is programmed to make a sell order whenever a currency pair reaches a resistance level, it will obey those instructions always.
And, if you need to make an adjustment, you can just open your code and include the parameters you desire.
The trade targets are also coded on a robot. Most automated trading strategies include a take profit and a stop loss level to safeguard profits and prevent extensive losses, respectively.
The trade targets are also coded on a robot. Most automated trading strategies include a take profit and a stop loss level to safeguard profits and prevent extensive losses, respectively.
Without such precautions, a robot can trade endlessly and cause more harm than good.
Therefore, even if robots lack the intuition that human traders have, they are a good way to automate systematic trading strategies and siphon massive profits from the market.
