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Top 10 Forex Robots for Automated Trading

08-22-2022 at 04:11:52 AM

Top 10 Forex Robots for Automated Trading

Top 10 Forex Robots for Automated Trading



Who earns more on the financial markets: an automated expert advisor or a real person? The best Forex trading robots can analyze the situation thousands of times faster, sort through the possible options and choose the best one. In addition, advisers are not susceptible to emotions. However, a human can make decisions in emergencies, take risks, be flexible and trust their intuition, which is sometimes more effective than an algorithm. Expert Advisors are a tool in the hands of a forex trader, but it’s up to the individual to decide.To get more news about Forex Robot, you can visit wikifx.com official website.

What Are Forex Robots?
Forex trading robots or expert advisors (EA) are automatic systems that open and close trades according to the algorithm specified in the code for a fixed period of time without human intervention.
Algorithmic trading appeared in the 80-90s with the development of computer technology as it became necessary to speed up and partially automate the trading process.
According to various regulators, transactions using HFT robots, machine learning and artificial intelligence reach 60-80% of the total turnover. It is hard to give an exact figure, since technically many of these strategies violate the law. In addition, regulators cannot track all transactions - there are millions of them and they are completed in milliseconds.

In private trading, advisors perform a similar role. Their main task is to instantly make a trade where a person would waste time on analysis and decision making. They also automate trading, thus removing the emotional burden and allowing you to save time.

Instantly processes a large amount of data. Some automated robots even perform fundamental analysis;
Automates trading. Performs actions that used to be performed manually;
Manages risks. The risk management system embedded in the code eliminates the emotional factor.
The automated adviser works as its code directs it. The simplest Forex trading robots have several settings that determine the trade volume, give signals for certain events, and set stop orders. Complex Expert Advisors have dozens of those. For example, they can be divided into blocks, each responsible for a separate adviser strategy. Unique features can be added: spread control, automatic selection of settings in case of a change in the market situation, etc.

Example. You have developed a trading system, according to which the signals to open a trade appear when the stochastic oscillator is above the level of "80" and the intersection of two MAs with different periods. You set the stop order at a distance of 20 points, take profit - at 30. A programmer writes code based on this system, you install the launch file on the trading platform and, after activating it, the adviser performs the actions specified in the code by itself.

Do Automated Forex Trading Robots Really Work?
You can find hundreds of paid and free Forex trading robots online. It is reasonable to assume that all of them cannot be profitable. Their effectiveness depends primarily on the trader’s ability to select the proper settings, understand the moments when it is better to stop the advisor, assess the risks, etc. A trading bot is not the Holy Grail. This is a tool that makes life easier for those who know how to handle it. And if a person does not know how to use a tool properly, they can only make it worse. The “monkey with a grenade” principle is a sure way to lose money.
Gradually, classical trading advisors are being replaced by neural networks with machine learning. Based on the input data and set targets, they are able to calculate thousands of algorithms, choose the best one and independently adapt to market changes. So far, such tools are used only by the largest investment companies.

Before using anything in your trading, I recommend testing it in a tester or on a demo account.

You will surely see beautiful profitability charts on trading websites with ads of profitable advisers, something deep inside you will stir, you’ll get a thought like “what if it’s true”‎, and it will make you feel very warm. Unfortunately, it is the same greed that whispers to people who lose their last money in slot machines. And the more willing you are to listen to it, the worse for your financial situation. Don't let greed defeat your common sense as you will be risking your real deposit. That inner voice cannot make up for what you lose if it fails.

Without understanding the tools you are using in trading, you cannot be sure of success.

Here we need to clarify that trading is not only profitable trades, but also unprofitable ones, which are emotionally uncomfortable. There is also a concept of "serial trades"‎. If you have a well-established profitable trading strategy, and you understand in which periods it works better and in which it works worse, you will be almost indifferent to a series of losing trades. The simplest example: you have a trending strategy based on 2 moving averages, and a ‎flat has formed in the market at the moment. The profit mechanism here is as follows: during directional movements you have more profitable trades, and during non-directional/lateral/flat movement you have more unprofitable trades. If during a flat such a strategy gives a series of losing trades, you will be ready for this, because you know that this is a working moment for this strategy. Now imagine how you will feel if you DO NOT KNOW what the trading algorithm is based on, and you close the 3rd trade in a row with a loss, then the 4th, 5th and so on. It will surely bring discomfort‎. And it's completely justified. A person might feel the same discomfort‎ if their car engine suddenly stops while driving. They don’t know how serious the breakdown is, and so they are worried.

Poetry is when an emotion has found its thought and the thought has found words.

Robert Frost (1875-1963) American Poet.