Most people think that professional traders, when they are trading with currency pairs in the Forex market, relying only on own knowledge and experience, and the trading with the expert systems assistance is the beginners’ destiny. However, the systems of so-called “trading advisors” are written, usually, by professionals of the currency trading to optimize a trade and increase its efficiency. Thus, the fact of using an auto attendant in the Forex trading doesn’t means that the trader has no experience or professionalism.
What is the best trading method in the Forex?
There is no a definite answer to the question, which trading is better – automatic or manual. In this case, a trader chooses the most appropriate option for themselves. However, you should not deny the fact that entrusting your trade to a good adviser, you will greatly facilitate your mental work because in a split second the advisor handles a huge flow of information.
In addition, the using the automated system in trading allows you to completely eliminate the human factor. An undisputed advantage of the automated trading in trading is that all the systems are tuned to produce a maximum profit while limiting possible risks.
The advantages and disadvantages of the trading advisors
However, we must not forget about the pitfalls that may await a trader working with the trading advisors. First of all, you should not give over the trade into the robot’s hands fully, because any trading program has its drawbacks and is not insured from errors. It is worth remembering that the trading advisors are written by traders.
The second disadvantage of the trading advisors is a one – sided processing of the received data, because the testimony of a specific indicators set is programmed inside their algorithm of the decision – making applications. Thus, the trading advisors may overlook and not take into account the values of some indicators, that in the particular market circumstances might have been important.
Distancing of a trader from the market is also including the shortcomings of trading with robots. The automated trading will allow to trade without a continuous currency movements analysis. In such situation the trader enjoy watching the transactions that are made by the robot more than watching his own trade.
Despite the fact that the trade with the trading advisor has numerous of imperfections and nuances, the ideal still exists. The trader can write itself trading adviser including the algorithm of the indicators which he uses in the ordinary course of trade. However, if the trader doesn’t know programming and it is a difficult task for him, it is worth remembering that then choosing an automated expert for trading he need to learn the basic principles that the robot during its decision-making process guide. The profitability of selected trading advisor directly depends on how well you’ll learn the system of its works in the FOREX market.