Deciding for an automated Forex trading system, best known as FX Robots, is all about two important things:
- Costumer trading needs.
- Robot’s compatibility with desired Broker.
Thousands of people every day trade on the worlds stock markets, with the majority now using software to aid them, but does it help them make more money?
This software is known as a ‘bot’, short for robot, but it is only ever as good as the user. If the user does not know how to trade successfully on his own in the first place then he is unlikely to get instant profit from a bot. New users have to understand that it will take weeks to learn how to use a bot correctly.
I use the ‘new’ bots on the block on a daily basis. Any professional trader should at least be aware of the existence of betting exchanges, and the fact they can turn over $Millions per horse race within a few minutes, and with the betting exchange allowing you to back (buy), and lay (sell) a horses odds, many new traders are springing up to take advantage of this with the use of betting bots. And the best thing is, you do not need any knowledge of the sport you are trading in. You can also trade on the majority of the worlds financial markets, such as the FTSE, NASDQ, etc, as well as currencies.
So are these new bots a license to print money? Depending on which one you use, as some are useless, and will see you lose money faster than if you were using a pin, but others stand out, and are put together by professional stock market traders. It is these bots that have the potential to make you money, and if handled correctly, plenty of it.
Most of the bots on sale focus on one aspect, whether it is trading, arbing, hedging or dutching, but there are a small number that focus on them all, and compared to the single function bots, are much better value for money. These multi-function bots allow you to find your niche in a competitive market, without emptying your bank balance.
It is also a misconception that you will start making a lot of money instantly. Even if the bot produced profits on a daily basis (which by the way, will never happen), you still have to limit trades to a fixed percentage of your betting bank, otherwise you will find yourself having no control over trading stakes. It is always best to start small, get the mistakes out of the way while it is cheap to do so, and when your stakes increase, you will have learnt enough from your mistakes to save money.
Some people click with trading straight away, others it can take weeks of staring at the graphs on the screen until the penny drops. Those that stick with it though, usually succeed, and a bot makes life so much easier.
So if you have the capabilities to profit from trading, then a betting bot may be for you, if you are looking for a quick buck, forget it.
For information about the best trading bot currently available on the market visit Best Forex Robots Review
Forex Robot software is popular but very few traders win with a robot, here we will look at the main reasons why and how to find a Forex trading system that wins...
Forex Robots fail in real time trading because the vast majority are based on unsound logic and have never made any money in real time trading sure, the track records says they have but look a little closer and you will see the reality which is:
The track record is a simulation in hindsight or presented by the vendor with no independent verification.
The claims are extraordinary and are obviously not true:
Double your money each month, little or no drawdown, trade with over 90% accuracy etc and you can get access to these systems (which beat the best traders in the world) for the cost of a night out.
If you listen to the sales copy, you have to make no effort and simply make money while you sleep. Common sense tells you these systems don't work, they simply look to good to be true and they are.
Now I am not saying you cannot make money with automated Forex software because you can - but let's look at the reality of trading robots and leave the fantasy behind.
The reality is there are some good solid programs you can use which have made real gains and the best normally make about 50 - 100% per annum with drawdown being around 20 - 50% depending on the risk profile of the system and a typical drawdown period will last for a few weeks.
So great long term gains, if you can ride out short term drawdown with discipline.
So if you buy a Forex trading system, look for real gains and check the logic so you can follow it with discipline.
As far as I know there are no awards for Forex robots…so finding the best award winning Forex robots could be a bit on the difficult side. If you really want a find the best Forex robots here are a few tips that can help you.
The very first thing you can do is to search the Web and you can should actually type in “best Forex robot”. You’ll see lots of different websites pop up, some of them review sites and some of them actually selling Forex robots. This is when you’re going to put on your hat as a skeptic and take everything you read with a grain of salt.
The reason you need to put on your skeptic hat is because unfortunately the vast majority of Forex robots are hyped up way beyond their actual performance results. One reason they can easily do this and get away with it is because beginning Forex traders don’t have much of an idea of what types of claims are or are not realistic. So someone could easily say to you that they will sell you a Forex robot for $97 that is 100% accurate. That sounds great on the surface if you’ve never traded Forex before you may even think that obtaining 100% winning trades is actually possible in real trading.
There are number of different types of Forex trading software. Trading software can do anything from help you design your own trading system to automatically place your trades for you.
Here’s a brief outline of the different types of trading software and what they are used for:
Forex Trading Platform – Your trading platform is the interface between you and your broker. Trading platform software is what makes online Forex trading possible. Forex trading platform software is downloaded from your Forex broker’s website for you to install on your computer. Once your account is open and funded you will be able to place trades directly from your computer. This is one of the greatest things about Forex trading as you can trade from anywhere in the world that has a reliable Internet connection.
Forex System Development Software – System development software is used by traders wishing to develop their own Forex trading systems. Development software allows a trader to test their trading ideas by using historical data. This process is called back testing and is very useful for seeing how a particular trading idea might have performed in the past.
Forex Robots – A Forex robots already has a Forex trading system programmed inside of it. It is called a robot because it automatically generate Forex signals for the trader without human intervention. When interfaced with a compatible Forex trading platform a Forex robot can place trades automatically. This is the ultimate in Forex trading automation. Keep in mind that before you attempt to allow a Forex robots to trade for you automatically you should thoroughly test and observe it in a demo account without having any real money at risk Once you are absolutely confident that it performs as it should then you can have it trade in your live funded account.
Forex System Software – Forex system software is similar to a Forex robot in that it generates Forex signals for the trader. The software can be used standalone and generates signals which the trader can then manually place using their Forex trading platform.
As you can see Forex trading software can definitely make life more convenient for the Forex trader. In the case of Forex robots and Forex system software, make certain that you investigate them thoroughly before your purchase. It is this type of trading software that can mean the difference between success and failure in Forex trading.
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