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Friday, November 8, 2013

Why use forex trading robots and expert advisors?

Retail vs institutions 

The world of forex trading is diverse. We have discretionary traders who trade manually and execute trades one by one – most of us fall into this category. And we have the banks and hedge funds who have the capital to develop computer algorithms, which can trade markets automatically.

However, forex trading in the retail market has evolved greatly in the last decade or so. With the advent of the internet, the sharing of knowledge, expertise and trading strategies is now rampant. Traders gather at online forums, share comments below articles and even group together in physical meetups.

 

Skill meets platform


One particular skill for one unique platform has allowed retail traders like ourselves to trade like the institutions do, automatically and systematically with the help of tradingsoftware. This skill is computer programming in MetaQuotes Language 4 (MQL 4),for an open source platform called Meta Trader 4 (MT4).


MT4 is a widely used forex trading platform which most brokers support, you can download a demo MT4 account at forex websites. Traders can perform technical analysis with built-in indicators and execute trades on this platform. Most interestingly, this platform allows anyone to load custom indicators and trading robots, so that they can have software execute trades on their behalf, based on strategies coded into the software.

Wisdom of crowds


The internet has allowed computer programmers and traders to come together, to develop hundreds of expert advisors now available in the market. With a simple drag and drop of files on your computer, you can now have a portfolio of robots trade the forex markets for you, without emotion, error, or sleep.

Forex trading robots are improved with an array of programming knowledge
Forex robots work while you sleep

Role of expert advisors

Unlike computer software, humans require sleep. With a 24/5 market such as forex, it is humanly impossible to manage trades all day without rest.  Top this of with multiple trading strategies and a human mind will not be able to multi task. Not to mention most of us trade forex part time because we have day jobs. An expert advisor is there for you to outsource the laborious task of watching screens 24/5 and executing trades. These robots do the job for you. 


About the author: Streetpips.com scans books and websites for trading strategy ideas. We then select those which are programmable, code them, and share these with our members.Website: http://www.streetpips.com

5 comments:

  1. Consequently the risk regarding organizations is pretty minimal as they don't have to shell out their Jobs for advisor at the start for the work they may be performing. Identical is true in some recruitment organizations; you get a great deal of professionals which might be determined by placements to generate a good degree of cash flow on the market.

    ReplyDelete
  2. I have been trading with forex since 2010 and never encountered any issue. I made money once and requested withdrawal

    Success in Forex

    ReplyDelete
  3. Excellent, The above blog provides the important use of forex trading robots and expert advisors. The forex robots trade online, completely on their own, 24 hours a day, making all forex trading decisions automatically, without human supervision at all.

    ReplyDelete
  4. Forex trading is open 24 hours a day and therefore you need to ensure that the forex broker that you choose operates at all times of the day. 


    Dealing With Your Losses

    ReplyDelete
  5. Why not switching to the automated forex system I guess, you pay no more commissions, you're trade mechanically (disciplined), you're trading unemotionally.

    Best regards,
    http://www.ea-builder.net

    ReplyDelete