If someone of the forex goals for that year is to work with an ea or even a trading robot, then i want to help you along by outlining the main advantages with this. Let me remind you though that this trading strategy requires a bit more knowledge, experience, and research so make sure you shop around before you run an EA.

1. It could trade while you sleep!
Although the currency markets is open Twenty-four hours a day, humans as if you can’t possibly stay up all day long and night throughout the trading week just to keep an eye on price action the whole time. Well, that may be doable with copious levels of coffee and drinks, but that ain’t healthy in any respect!

A forex automatic trading program, conversely, might be programmed to watch market movements without having to rest or perhaps take pee breaks. It really follows a collection of rules based on technical indicators or price action and will execute trades automatically. For a lot of forex traders who’d want to profit from market movements during a particular trading session but you are stuck in a different time zone, using an robot means that they do not be concerned about trading sleep for pips.

2. It’s not prone to emotions.
Every fx trader available has probably grappled with either greed or the anxiety about losing sooner or later. Human emotions can cloud decision-making sometimes which enable it to lead an angel investor to deviate from a tried-and-tested strategy.

What sets trading robots besides human forex traders is the fact that we don’t have any emotional components at all. Expert advisors are wired that you follow system commands and take valid trade signals, without feeling pain from losses or joy from wins.

3. It is possible to run backtests quickly.
Another advantage of needing a specialist advisor may be the simple conducting backtests by using an electronic trading platform.

4. It reacts to quick market movements instantly.
While humans require a few seconds or longer to digest market information and learn how to respond to price movements, a forex software can react instantly and perform trade faster than a blink of an eye. This is often beneficial for day traders that are planning to benefit from quick price moves according to 1-minute or 5-minute charts.

Expert advisors can also book profits or cut losses without second-guessing. As Dr. Pipslow often discusses in the Pipsychology articles, the choice to exit early can be hard to make, as it can involve either leaving profits up for grabs or realizing small losses.

5. It isn’t really prone to human error.
Besides having emotions restrict making trading decisions, being human also entails making mistakes. This can be as making wrong calculations in position-sizing (gasp) or entering an additional zero within the trade lot size (double gasp) – errors which can be avoided when working with a forex robot.
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