Automated trading forex
Automated trading in the Forex market: what are the pros and cons?And more about forex
Trading on the Forex market has become so popular that in the world of stock trading there are new methods, new developments and even opening. So opening for traders can be considered a system of automated trading, then there is an automatic trading. Automated trading in the Forex market - is trading with the help of special programs that replace the trader at his workplace. That is, all transactions are made on full automatic, without direct human intervention. These programs are called on traders' slang for "trading robots". Trading robots enter into foreign exchange transactions on a given trading system developer. Building on the settings of the trading system, robots waiting trading signals expose the lot, the opening price and the levels of take-profit and stop-lossa.Chtoby help traders to choose the way of trade, consider in detail the advantages and disadvantages of automated trading. Information abaut bux.
Automated trading - pros .
1.Full automation and the lack of "human factor". Of course, this is the biggest advantage of this method of trading. Trading robot does not know the emotions, he is not afraid and no doubt do not speculate and do not gadaet.Pri automated trading robots themselves analyze the market, waiting for trading signals and make transactions on a given algorithm. They are not prone to subjective evaluations and psychological vliyaniyu.
2. The speed of the transaction. Robots open and close the transaction promptly upon strictly specified prices. That is, trades are opened and closed by the type of pending orders and the price is not time to jump away from the current znacheniya.
3. Hour Trading. Trading robot not only knows the emotions, but do not get tired as it is human. This allows you to trade around the clock, even at night, but not so on the manual trading. At night, in spite of its relative passivity, the market still offers good shopping signaly.
4. Flexibility and control. Any automated trading system can be adjusted to change its settings, or completely correct. It all depends on the result of transactions that make trading robots.
Automated trading - cons.
1.A solid value. Develop a trading robot that will do the right deal and produce tangible transactions difficult and challenging work. So profitable automated trading systems are very expensive. Prices range from $ 15 up to $ 1000 above. Price Trading Robot, you guessed it, talks about his reliability and pribylnosti.
2. Malfunction of the trading robots. Trading robots, as well as any computer program that can run off with the correct operation of the algorithm. Due to failures in the robot's configuration and trade becomes unprofitable, and the deposit can be fully slitsya.
3. The computer was online. The robot to open round the clock transactions, trading terminal must be permanently open. Accordingly, a computer trader must always be switched on during the day of trading, except holidays. You either have to run the trading terminal on a dedicated server, not everyone currently pozvolit.
4. Do not respond to force majeure. Price movement in the Forex market is often due to unforeseen circumstances. Sudden reshuffle, political events, economic changes and other unpredictable events strongly influence the movement of the currency kotirovok.Takie factors are rare but lead to significant "currency change." Such changes in trading robots do not recognize and take into account for the trading signals, as they work on the specified settings of the trading system. In such cases, the robots discover untimely and losing trades. Or, conversely, miss potentially lucrative sdelki.
5. Commercial systems are based on a technical analysis and other factors into account. Trading robots are catching signals the opening of transactions on the parameters defined by the developer. They are based on technical analysis tools: oscillators, indicators, price history and price movement. This means that automated trading does not account for the influence of fundamental analysis of economic developments and novostey.Zayavleniya influential politicians, financiers, fund managers and banks and other market can seriously affect the course of currency rates. But these factors of price formation in the Forex trading robots are not ispolzuyut.
6. Responding to false alarms. Price movement in the Forex market never stable. The market is developing and changing from one trend to another. The market often shows false signals. The falsity of the signals can recognize only experienced professional traders. The robot can not distinguish between false alarms and false opens on them, that is unprofitable, sdelki.Doveritsya trading robots or trade itself - everyone's a trader, and you need to decide on the basis of personal experience of trade and professional qualities.
trade on the stock exchange on Forex including the now developing. There are new developments and ways of trading. One of such methods - automatic trading. What is this? How to use automatic tools of the trade? We will try to figure it out.
Auto Trading enables trade on financial markets with special programs / scripts (in other words the 'robots - Advisers "). They give the trader a signal for opening positions, based on a given algorithm, or may commit, the transaction without human trading, the parameters that are defined in the development of the strategy.
Work trading "robots":
Trading "robot" - a program that allows you to make the trader's job easier and, in addition, to help him get rid of the drudgery. The principle of operation of trading "robots" is that a person establishes a system of conducting trades in advance, and after the "robot" currency trades are opened and closed (signal serves to hold.) The work "robots" depends on the settings of the trading system. They are receiving a signal will exhibit lot and start the opening price of the transaction, as well as identify and deliver the levels of "stop-loss" and "take-profit", which will provide an opportunity to manage risk by preventing the "drain" of the deposit.
Its advantages and disadvantages in the work, but most of the benefits:
First, the advantages in the absence of the "human factor" in the auction. The robot will not worry and doubt, hesitation - he just make a deal.
Its second advantage: the time of the transaction (work instantly). He opens and closes the deal at prices based on the settings of the trading system.
A third advantage is its hour. He did not need: sleep, eat a break from work - it just works and all.
Fourthly - there are a flexible work schedule, and the ability to control. After all, this kind of trading is adjusted settings that are affected by the result of past transactiocarried out by the robot.
The disadvantages of "tredingovogo machine" is, first of all, the lack of intelligence (robot is guided only by the strategy inherent in the settings). In other words, you lose the ability to reach all the necessary information to make the right decision. In fact, only applies technical analysis, which is not adjusted for the fundamentals.
Using the "trading robot", you assume the risk. You can not be 100% sure that the program will not fail.
Trader loses the opportunity to control in an emergency, as absent at the time of bidding, and the program runs automatically.
The decision to use automated trading systems to «Forex», you are making an important step in his development as a trader. There are robots that successfully trading in the "millions" of accounts, and there are examples and drain deposits. Remember the main thing - that every transaction, every tool you used is your personal experience.