How to correctly choose a forex trading robot and start making money with it?
Category : Robots
It is crucial to remember that a trading robot is a system, which is based on the multiple factors, from simple indicator strategies to complex mathematical algorithms. Each of the robots can be adjusted for specific parameters of monetary risks and time intervals of trade. At the moment, about 80% of the trading operations are made by robots. So the question arises: how do the experienced traders choose the right robots and earn with them? Let’s figure this out.
A trading robot is any automate trading system that is capable to open and close positions on financial instruments. The robots can be programmed according to the different systems. The simplest robots are trading, relying on the indicators, more complex ones may be developed individually and include multiple high-frequency algorithms. Here is a list on them:
– Print tape;
– Wave cycles;
– Tick volumes;
– Supply and demand levels.
A trader may face certain difficulties while choosing a trading robot. First of all, there are numerous trading advisors, which have various success rankings. Therefore it is a challenge to identify which ones are actually good. A trader should make an accurate decision, as the wrong choice may lead to the loss of money.
Trading on the forex market cannot be 100% profitable by default as well as it is impossible to always make successful deals. Still, it is possible to minimize the loss by trading with forex robots. They help the trader to avoid psychological pressure, which occurs when entering or exiting the deal. It is critically important, as the correctly chosen robot does not have its own emotions and does not change its decisions. While a person leans to change the strategy during trading, robots don’t do it, as it can have a negative impact on the trading account. An automatic calculation of the financial risks is another great advantage of robots. Moreover, the time that remains for the trader to analyze the fundamental factors of the market is also a benefit from the trading with robots. Choosing the best robot for an automated work on the Forex market is an important step towards stable earnings.
How to choose a forex robot?
It is not a simple task to choose a trading robot. Any experienced trader would assure you that they’ve tested a couple of forex robots before got to work with the right one. First of all, you need to determine which strategy you are using and whether you prefer to work with simple or complex solutions. I prefer more complex alternatives such as 2leg Forex Hedge Arbitrage software available at forexzzz.com. There are also free advisors, which you can find on the internet. However, they require a lot of adjustments and support.
If I needed to choose a forex robot now, I would start to read reviews on specialized forex robot websites. You may find several of them but focus on those, which do not sell robots but provide the reviews on them. In addition, it may be a good idea to analyze the results of trading robots for their current clients. Pay attention to the drawdown, yield, recovery factor, etc. Personally, I prefer the robots which are built on the principle of supply and demand levels. They calculate the historical minimum and maximum automatically under any specified time frame.
So, it is important to be aware of the key criteria of the good software in order to choose a right robot and start earning money with it.
- There should be positive reviews about a robot on the specialized websites;
- A paid robot with good ratings is preferable to the free one;
- You should accurately check the free robots on the test accounts;
- High-frequency robots are well-suitable for scalpers;
- If a robot is based on simple algorithms, that doesn’t mean it’s not good;
The main challenge for the new traders may be a purchase of the paid robots assistants. Still, it is worth mentioning that it is more reasonable to spend money on the deposit than lose them with free unreliable software.