Why use Forex Trading Robot or Expert Advisors?
Last up date : 3/08/2014
The world of forex trading is diverse. We have discretionary traders who trade manually and execute trades one by one – most of us fall into this category. And we have the banks and hedge funds who have the capital to develop computer algorithms, which can trade markets automatically.
The world of forex trading is diverse. We have discretionary traders who trade manually and execute trades one by one – most of us fall into this category. And we have the banks and hedge funds who have the capital to develop computer algorithms, which can trade markets automatically. - See more at: http://www.forexnews.com/blog/2014/02/11/use-forex-trading-robots-expert-advisors/#sthash.iiBNu83T.dpuf
However, forex trading in the retail market has evolved greatly in the last decade or so. With the advent of the internet, the sharing of knowledge, expertise and trading strategies is now rampant. Traders gather at online forums, share comments below articles and even group together in physical meetups.
Skill meets Platform.
One particular skill for one unique platform has allowed retail traders like ourselves to trade like the institutions do, automatically and systematically with the help of trading software. This skill is computer programming in MetaQuotes Language 4 (MQL 4),for an open source platform called Meta Trader 4 (MT4). MT4 is a widely used forex trading platform which most brokers support. Traders can perform technical analysis with in-built indicators and execute trades on this platform. Most interestingly, this platform allows anyone to load custom indicators and trading robots, so that they can have software execute trades on their behalf, based on strategies coded into the software.
Wisdom of Crowds.
The internet has allowed computer programmers and traders to come together, to develop hundreds of expert advisors now available in the market. With a simple drag and drop of files on your computer, you can now have a portfolio of robots trade the forex markets for you, without emotion, error, or sleep.
Role of Expert Advisors.
Unlike computer software, humans require sleep. With a 24/5 market such as forex, it is humanly impossible to manage trades all day without rest. Top this of with multiple trading strategies and a human mind will not be able to multi task. Not to mention most of us trade forex part time because we have day jobs. An expert advisor is there for you to outsource the laborious task of watching screens 24/5 and executing trades. These robots do the job for you.
This article first appeared on Streetpips.com.