How You Can Select The Best Forex Trading Robots When Trading On Forex  

by Jennifer Stoll

With a lot of available choices, it becomes challenging to choose the best Forex Trading Robot. There are several free and paid software accessible online that are specifically made for Forex trading. Typical functions between them are all similar, all Forex trading robots automatically operates trading currency, get into and quit trades with one major reason which is profit.

At the same time, Forex traders are often checking the marketplace for the constant updating of the robot. Many software work with "Special Rules" especially created for them, they are created totally to trade currency pair. It is one important thing to be considered while making a choice on the best Forex robot. Forex Trading Robots are however employed and reliable in the market.

Contrary to popular belief, choosing the best Forex robots isn't as simple as it may seem. When some of the promises of substantial rates of gain and rapid multiplication are true, many of them are not.

You might even ask "Are Forex robots working around?" Luckily, there are some of the best Forex trading robots which can really make you a steady income from Forex on autopilot. At the bottom of this article, you will know how to choose the proper Forex robot that might be your real deal.

Just What The Best Forex Trading Robots Aren't

Surprisingly, the best Forex trading robots will not have 90% and over success rates, because they aim to triple or quadruple your account speedily. Usually, forex robots with 90% and beyond the earnings gain rate very low, but once they lose, they lose significant. Because of this you may lose weeks of profits in a losing trade high, and if it trades to lose 2 or 3 in a row, you may say adios to your money.

The robot owners will not tell you about that, and it is perfectly possible to design a forex trading robot to reach 200-300% returns in just weeks, they do so with an extraordinary danger on your account trading. Massive rewards always come with major dangers connected, and just as fast you can increase your account, you will soon jump to those programs and more aggressive to loose.

How The Best Forex Trading Robots Appear To Be

So how the best Forex robots actually seem like? Rather than judging a robot using a gain rate like most beginner traders, make most of the pro traders analyse in its quality, by the glory of loss rates. Therefore if the scale of the standard earnings are at or even over the average loss of the forex robot, then it is a great trading Forex robot.

As an example, in case your robot had a 90% gain rate, but only made 10 pips earnings per trade with the risk of a loss of 80 pips, therefore after 10 trades you'll have the result of an average of 10 pips. So now, if your robot had just 60% gain rate, but made 40 pips profit for every trade with the potential risk of a loss of 40 pips, consequently after 10 trades you'll have the result of 80 pips. It is really miles ahead of the system of huge win rate, 8 times better actually!

Regardless, if you opt to make trades using a robot, it is crucial that you read the instructions having the greatest attention and don't let your robot perform its own trades without following its trading activity as well as flow charts, at least during the very first days.

At the same time, before choosing a forex trading robot you have to first determine whether the software really can perform to your benefit and also if the system can actually change the trade effectively and adequately

Clearly, if you already know what you are searching for and how the best Forex robots actually outweigh the poorly designed systems, you will be significantly better prepared to make wise choices when it comes to picking out from the best Forex robots that work well in the long run.

About the Author

Find more information about the best Forex robots and opt for the best from the best by simply visiting Forex Robots Reviews site.

Is Automated Trading Realistic for the Individual Trader?

As an individual professional trader you have some fantastic advantages in the markets over institutional traders and long term investors; however you also have a number of areas where the odds are stacked against you.

 Two of the major stumbling blocks have been budget restrictions and limited resources. The large institutional traders have huge budgets for research and development as well as programming and technology. Retail traders are subject to the limitations of their own time and ability. As a retail trader you rely on your own ability to trade error free and are hindered by your time restraints. You don't have the luxury of handing over your positions to your Hong Kong or London trading desks when you head off to bed. In order to succeed at trading you need to focus on your advantages and minimise the weak areas.

One of the best ways of minimising the weaknesses faced by an individual trader is to incorporate automated trading into your strategy to eliminate most of the problem areas faced by independent traders. Automated trading systems were first developed and used by large institutional market participants but with the development of advanced trading platforms available to individual traders, the world of automated trading strategies is now open to the retail trader allowing him or her to compete on an equal footing with the large banks and institutions.

Electronic trading platforms such as Ninjatrader and Metatrader, available to the retail trader to trade foreign exchange via their broker of choice, has revolutionised trading for individuals. These programs allow end users to write their own automated trading plans and Forex trading systems. You can automate trading in very much the same way as the institutional traders have been doing for some time to gain an edge over the market.

These platforms have proprietary scripting languages, which enable individual traders to develop their own scripts, indicators, money management systems and ultimately automated trading systems. Due to the fact that these languages are open source there is a large community of developers sharing systems, ideas and expert advisors with other individual traders.

This sharing of ideas, research, knowledge and coding allows traders to learn and improve their trading results. However, this still left the retail trader with the need to learn a programming language and development skills which takes many hours of learning as well as a process of trial and error. Costly errors could be made in the process especially if you are not an experienced programmer to start with. With the advances in trading software the process of developing an automated trading plan for those not experienced in programming has become significantly more user friendly.

The building of your own system is also well support through modern software trading programs by allowing us to fully adjust and backtest our system before running it in a live account. Automated trading on the Futures or Forex market is the process of running a computer derived program through your preferred trading software platform. You as the individual trader use the in-built wizards to set your trading system rules and the software will automatically execute your plan day and night as if you were sitting in front of your screens constantly.

The key advantages of this are numerous. Your trading plan running automatically through your trading software does not need to sleep and does not make mistakes. So you have 24 hours of error free, stress free trading. It's a dream come true for retail traders who can now compete on a level playing field.

 Learn to develop a professional level Auto Trading System for any market, on any time frame using a proven automated trading method. Visit Automated Trading ACADEMY for some great free trading resources.

Article Source: http://EzineArticles.com/?expert=James_Wilton Article Source: http://EzineArticles.com/6629890

FX-KITS - Not Now, Not Yet...Probably Not Ever

The FX-Kits website is up and I'm not impressed. It is full of unattributed quotations - you know the sort of thing: "The Most Consistently Profitable Forex Trading Machine Ever" and "The Ultimate Game Changer For Automated Forex Trading". But no references, no authority, no credibility.

Worse still, it is being sold on a monthly subscription basis. And worst of all, it requires you to set up a trading account with a specific broker through a link that FX-Kits gives you. So by the time we discover that the thing doesn't work and we demand our money back, they've already made tens of thousands as a broker affiliate.

This one touches too many danger buttons for me. I'll pass and take the risk that I am missing out on the Albert Einstein of forex robots. Gut feeling tells me that I'm probably not.

Back to FapTurbo for me...

FX-KITS Is About To Be Launched...

Like me, you've probably received the email from Daniel Su at Forex Kinetics announcing the launch of the FX-KITS robot tomorrow.

They claim (don't they always?) that FX-KITS will change Forex trading as we know it forever. Equally predictably, they have created a false scarcity by 'limiting' the launch to just 100 copies. Since that's almost certainly not the case, it raises serious questions in my mind about the credibility of the claims they make for the software itself.

Still, I will hold judgement. I may even be tempted to buy a copy (although they haven't spelled out what this 'never to be repeated' offer will actually cost). So, watch this space...

Truths, Half Truths and Forex Robots

By Shaun Welford



In principle, automated trading is great. Simply install a Robot - or Expert Advisor as it is commonly called - activate the settings, and wait for the cash to flow in.

That's the explicit promise made by pretty much every Robot vendor I've ever come across. But I am a sceptic, and not just by nature but by harsh experience. The idea of forex robots is exciting, but the reality is that they typically work only half the time. And the half when they don't work is where you will sit back in horror and watch your trading capital disappear before your eyes.

Why should this be? Simple. Forex Robots - like all software products - are designed using key criteria and assumptions. In this case, those criteria and assumptions relate to the programmer's understanding of how the forex market works. As a result, forex robots tend to be written to work only when the market is moving in a certain way.

The problem is that that Mr Market is a bit of an unpredictable swine. As seasoned traders have always discovered to their cost, the market just doesn't do what's expected of it - at least, not with any consistency that you should be willing to bet your house on. So when the market changes, the robot will often start to lose on the trades and you run the very real risk of being bumped out of the game.

So there are robots that work well when the market is in a channel, others that offer stellar performance in a market that's trending, and others that come into their own when the market breaks quickly to the upside or the downside. The problem is that I have yet to find one robot capable of adapting to these different scenarios - and that really raises a question about whether you should ever rely on a fully automated trading system. I would suggest not.

Which isn't to say that I don't use robots. I do - and with some success. But that's only because I tend to use those robots that require some input and judgement from the user. As I've said elsewhere, the real secret of forex robots is in the settings: how you configure them, tweak them and selectively override them will ultimately determine how much money they make you. Or lose you.

And there, dear Reader, is the real issue. In order to make those judgements, you need some understanding of forex trading and, yes, the courage to make your own assumptions based on practical engagement with the trading process. Trading isn't about pushing a button and waiting for results. It's about thinking for yourself, learning from your mistakes and developing strategies that fit your trading style and your appetite for risk. A forex robot such a FabTurbo can make a huge difference to your success - but only if you are prepared to be its master rather than its slave.

Do Trading Robots Actually Work?

By Shaun Welford

It's a fair question - and one that deserves a fair and objective answer. Which is exactly what most marketing materials promoting these products fail to give us.

But for what it's worth, here's my take.

Forex robots can and do work, but not quite as 'automatically' as you might think. The most successful robots - FapTurbo springs to mind - allow you enormous scope to configure the settings in ways that support your personal risk profile and the relative volatility of the different forex pairs you choose to trade. That's good and bad. It gives you a greater degree of control over your performance but it also demands a level of skill that most of us gain only through trial and error. And that can be expensive.

So Forex Robots are not so much 'plug-and-play' as 'constantly-monitor-and-tweak-or-you-could-lose-your-shirt-very-quickly'.

Yes, most of us are aware that we need to set stop losses and profit levels. But these levels have to be based on current market conditions. Is the market trending or is it ranging? Should you allow for key Governmental and institutional announcements, or ignore them? Are there particular times when you should be out of the market altogether? Or at least when you should adopt tighter stop loss and profit level settings?

Ignore these questions at your peril. While some champions of Trading Robots argue that the designers have already factored the answers into their software, and that the robots are completely prepared for perfect trading, my own hard-won experience tells me otherwise. If these robots really were perfect, those of us who use them would be living as multi-millionaires in tropical splendour (somewhere next door to where many of the robot developer already live, I suspect!)

So, the basic rule echoes the fine old English legal dictum 'Let The Buyer Beware'. Forex robots can and do produce results if used carefully and with constant monitoring. Indeed, some robots have shown tremendous success in both short-term and long-term trading. But you need to understand that these results depend crucially on having the right settings - and that's where experience comes in.

I love FabTurbo, for instance, but what are the precise system settings used to produce the extraordinary live results they show on their website? They don't tell us. Not surprisingly, there are some people out there who make a good living just from selling their own FabTurbo settings formulas.

But ultimately, you need to treat forex robots like any other tool. With caution. With respect. And with the frank admission that they can only ever be as good as the individuals using them.

Choosing The Right Forex Robot - It's All About YOU

By Shaun Welford

Let's face it, you could spend days exploring the range of forex robots on the market - and still be none the wiser as to which one is right for you. Unless, of course, you know exactly what kind of trader you are. Are you into day trading? Are you a swing trader by nature? Are you inclined towards long-term trading? Perhaps you prefer to trade just one forex pair, or do you want buzz and variety of using robots that trade multiple currency pairs simultaneously?

Answer these questions and your search for the right robot becomes a lot more focused. A forex robot that only recommends one or two trades a week won't suit you if you're a day trader - so avoid it. Equally, if you're a swing trader, you'll want to avoid robots that recommend several trades a day. The latter can lead to overtrading which can deplete you account at a disturbing rate. It will also adopt a scalping strategy designed to return small profits rather than a larger number of pips. Just make sure that you're comfortable with the style of trading built in to your chosen system.

All of which raises another important question: should you trade one pair or multiple pairs? Robots designed to trade a single pair - most often the EUR/USD pair - capitalise on the fact that this is the most traded pair in the world. This can work well in a strongly trending market, but may perform weakly in choppy markets with very tight trading ranges.

What then are the advantages of choosing a Robot that trades multiple pairs? Well, to claim that these typically return a higher pip score would be misleading. There is no statistical evidence I'm aware of to support this. But you might simply be more comfortable trading multiple pairs - partly because of your desire to select specific pairs or pair clusters depending on your understanding of the market on the day.

And there's the rub. Ultimately, choosing the 'right' robot means choosing the one that's right for YOU. If you're in harmony with its trading strategy, comfortable with its risk management features, and willing to devote the time it needs to tweak and customise the settings, there's every chance you'll make more money than you lose.