Auto Trade Forex Robots

Have you heard of robots auto trading the Forex market? I know that they sound really useful and sometimes the claims made by the creators really sound too good to be true. By using auto trade Forex robots, can you really expect to start making money quickly without having to learn how to trade yourself? Even though I had experience and skills to trade the currencies market, I still went ahead to buy and test these robots to see for myself to see how they worked.

1. The Truth about Auto Trade Forex Robots

These automated trading software are also known as Expert Advisors in the industry and have actually been around for a long time. Previously, they were never released to the public and were used exclusively by banks and other financial institutions to make money. However today, they are readily available for download over the internet and can be used by anyone with a Forex trading account.

2. What Are The Advantages of Using Auto Trade Forex Software?

These Expert Advisors will have a trading system programmed into them. If you have done sufficient research and testing to find the ones that can make money consistently over the long term, then you will be able to generate an automated income from home like I have managed to do myself.

Another benefit is that users no longer need to spend hours sitting in front of their computer screens every day waiting for the opportunities to come along. The robot will analyze the market 24/7 and can enter and exit trades all by itself. I never thought that I could be making money in the currency market without having to trade manually myself before, but it is a reality today and all traders should find out more about it.

Forex Auto Trading – Does it Work?

Ever since the first “Forex Robots” were introduced in 2006-7, people have been asking, does Forex Auto Trading software really work? Having had some experience testing “expert advisors” as these programs are technically known within the Metatrader software in which they operate, the author of this article would answer with a qualified yes, some DO work, but then again some EA’s do not work.

Forex Auto Trading software is a new phenomenon, and there are a lot of poorly written programs being aggressively marketed by internet marketers, which do NOT work. And for the most part you don’t get to test these questionable programs before you pay for them. In many cases they may come with guarantees, however these guarantees are only good if the people behind the websites concerned back up those guarantees. And of course the guarantees do not cover any trading losses made by the software, which are likely to be far greater than the cost of the software itself! The only way to avoid these pitfalls is to consult an independent forum which allows forex EA users to post reviews on these products. In this way, you can differentiate the good from the bad in the Forex Robot market.

Having got the negatives out of the way, there are a few well-designed Expert Advisor programs on the market which DO work, and the best examples of these operate on the principle that successful forex trading is not only about predicting and carrying out winning trades. Even with the sophisticated mathematical algorithms used by these robots, it is not always possible to predict the result of a forex trade 100% of the time. What the most profitable Expert Advisors do is make more frequent, smaller trades, so that when the market moves in a negative direction, the trade can be closed out with a minimal loss, while overall profitability is maintained. This is known as risk management, and is a very important part of forex trading .

Albert Einstein is said to have once remarked, “The most powerful force in the universe is compound interest.”

Compounding is a key factor in any form of trading or investing, and no less so with Forex Auto Trading. It is in fact the only way to trade safely and make gains in the longer term. The reason I say that, is that a novice trader’s biggest mistake is to assume that the only way to grow a forex trading account, is to take big risks with their capital in the hope of making big gains. Not so. The best way to grow the account is to minimise the risk by risking a small percentage (typically 2%) of the account on each trade and compounding more modest gains over several years. What this effectively means is that forex trading does not have to be a high-risk, get-rich-quick (or get-broke-quick) type of investment.

The advantage of Forex Auto Trading is the ability of a computer program to make far more trades than a human being could (or would want to) make simply by the fact that it is on 24 hours a day while the market is open, making trades according to preset parameters, while a human being is at work, at play or asleep. No-one wants to sit in front of a computer screen for hours on end placing trades themselves, and even an experienced forex trader, who knows how to place trades profitably himself, wants a life away from his computer, and is willing to accept the occasional loss if the overall result of the robot’s activity is profitable.

In conclusion, Forex Auto Trading represents an unparalleled opportunity in the current economic environment, for the average investor to take charge of their own investment activity, and if used correctly, to make solid, repeatable investment gains simply by utilising their own computer and the internet to trade on the trillion-dollar global foreign exchange markets. This is an opportunity not to be ignored by anyone who has taken a beating in the global economic crisis of 2009, and wants an alternative to just handing money over to investment funds which have proven to be barely profitable at best, and grossly unprofitable in some of the worst cases. By opening a trading account with a broker, and installing a simple software item on their PC and running it, many have opened the door to a fascinating hobby, with tangible rewards.

For anyone wishing to read further on this topic, please see the Author’s Resource information below.

Use a Forex Auto Trade As an Effective Money Management Solution

Investors certainly need money management programs so they could be further guided when deciding buying or selling for the greatest possible profit. Foreign exchange trading is a significant investment activity because it has the potential to bring about more attractive yields and investment returns on the least possible time, depending on market conditions. Thus, money management capabilities are deemed essential in forex trading.

You should not be surprised that a forex auto trade system could also serve as the best available money management program. This is not only logically practical. Such a system could appropriately apply stop-loss, retracement, and several other real-time parameters that could facilitate more than just market timing. As an ideal money management tool, it could also facilitate the use of mathematical algorithms and modeling (like the widely used Fibonacci formula, among others) for sequencing, analyzing, and automatically placing buy and sell orders.

Because you do not have to practically concern and worry yourself about market timing when making forex trading transactions, forex auto trade systems would be ideal for you. The forex market literally does not sleep as it could be open 24/7 due to different time zones and market trade hours all around the world. The system could help you ensure sound and timely investment whatever you are doing, wherever you are, through its automated trading feature. This makes such programs more than any other money management tools.

Forex trading is no gambling, though many people and investors think that way. It is not in any way a game of chance. Thus, it could be approached as a science, with all the preciseness and accuracy. You could place forex trades not just because you feel like doing so. Good traders and investors should know that such important decisions should be based on market analysis, which in turn could be based on historical analysis, financial modeling, and current market conditions.

Forex auto trade systems facilitate for a more systematic approach to forex trading. That is another conjunction point for the systems and money management. Every investment decision and move should be based on thorough and accurate analysis. Every move, consideration, possibility, and other business factors should be accorded appropriate treatment. Other than that, turning good and bad luck to investments and profit could be made more entirely possible through money management.

Use a fully automated forex trading system now as a tool for money management. Experts assert that forex auto trade software could also be used for risk management, but that is another subject. For now, it is just certain that auto forex trading systems are truly helpful.