If i’m new to trading and don’t know anything about trading, just now starting out, can i have a robot to do trades or i will still need to know information about trading, i know i will still need to get an understanding of how trading works but just need opinions. I see people in this forumn say they use robots.
In my opinion, robots take the fun out of it. At least for me. I like to ‘understand’ and feel some accomplishment rather than letting someone/something trade for me. I could just as easily put a glob of money into a mutual fund then 
Some of the robots out there target pips of 10 -15 however have stop losses quite large, maybe even 10 times the number of profit pips. Some of these robots will only place a trade or two a week!!
Now if I even took one or two trades a week, I think I could do better. Yes it’ll take some learning and time, but the results could be much better.
I started out in forex hoping that one day I could quit my job, buy some robot on the internet, and just let the robot make money for me.
Unfortunately it simply doesn’t work like that.
The grand majority of trading bots do not profitable in live trading - even commercial ones.
Most you will come across are overhyped, overmarketed programs written by amateurs who have only just learnt to write a robot. Some of these bots demo test OK, but in real live liquid trading, they fail.
The reason that people sell these EAs is simply because the robot doesn’t work on live accounts and that there is more money to be made in selling a useless piece of junk to suckers than actually using that trading program to make a fortune with themselves (in which case they wouldn’t need to sell you anything, and go through the hassle of doing so).
It stands to reason:- if anyone had a trading EA that turned $1000 into a million within a year (a holy grail trading bot), they would NOT be sharing it - for any price.
I’m not going to say that such a program is impossible to write - but I will say that if you ever get such a program, it will be because you wrote it yourself.
To sum up… if you want to trade with robots professionally, you WILL need to learn how to trade manually first, and then once you are successful at that, you will need to learn how to program your method – possibly spending a good deal of time modifying your strategy and optimizing your code – only then perhaps finding yourself changing strategies and rewriting things over from scratch.
In short… there is NO easy road in this. There is no free lunch. This is not a get rich quick scheme. It is a lot of hard work, a lot of study, a lot of failure, and a lot of your time – and THEN you will have to risk money behind your frankenstein creation. However, the rewards are there if you are persistant.
The best robot in the world is (drumroll please)…yourself.
Find a good trade strategy, and learn to keep your emotions undercontrol, think about if you built a robot that turned €1000k into €1M would you sell it!:rolleyes: No of course not, nobody would. And if you did sell it, everyone would be using it and it would become ineffective.
The only good robots out there are used by Central and Commercial banks, and you don’t see them flogging them for €200 do you!
Learn to trade for yourself, don’t become dependant on someone or something to do it for you.
Happy trading:D
I wouldn’t keep it to myself. What’s the point of being the only one in the world to know that you accomplished something no one else could? In fact, I would probably give away for free to anybody who could convince me that they were deserving. I am thinking of anybody whose life has been screwed up in the past year due to the greed and stupidity of a bunch of American financial types.
But the quest will probably be more fun than the achievement, so we all have to be careful what we wish for.
I’m running 3 EAs, using forex gator signal service and trade manually. Some EAs are good if have a full time job and you would like to make little extra money. Personally I would never trust any EA to make money for my family to live of.
paralotnik
The problem with forex especially, is that the adage of “Those who can, do. Those who can’t, teach” is very applicable.
I know the Donna Forex site does live testing…and she tests a lot of EAs!
also check out 4xrobots dot com site, it has a nice graphic interface and test most popular robots.
My sentiments are the same, but the search for the forex holy grail won’t be found in many of the commercial EAs. In my opinion, the holy grail is amongst the manual trade strategies used by professional traders that have not been coded into EAs (yet). In any case, getting such an EA to run is going to require some manual trading acumen combined with coding skills, a bucketload of persistence and patience, and a small amount of starting captial.
Yes, some EAs will get you trading automatically, with varying degrees of risk… but the “mutual fund” strategy will not get you wealthy quickly.
The REAL get rich quick methods are simply not quick, nor easy, nor something that you can just drop on a chart and hope for the best.
There is a simple reply to this question in regards to automation! There is not EA out there that can match trading manually period! I dabble in EAs for a hobby, but I trade manually! Look at what has happened in the recent past… 2 of the biggest named EAs are basically worthless… FAPT and MD!!! It’s because the brokers can see what you are using and counter them… don’t believe me… find this ebook “Beat the Forex Dealer by Agustin Silvani” I’ll tell you one thing for sure… trading manually you are already behind the eightball! Now throw in automation… something that cannot think for itself… and you have a losing situation! Now, don’t take what I’m saying as negative… its not! Like I said I play around with EAs… they just need constant supervision… so then my question is why not trade manually then??? Another thing… if you think about it, why would someone that has built this automation program that can make you a lot of money sell it for a mere $100??? Remember that FX is a zero load game!!! Someone has to lose for you to win!!! So again… why would they invite the competition? The only EAs out there that perform are the ones that are created by YOU! Using your strategy… Lastly, I think that if anyone wants to trade in FX… they should have a good understanding of what this game is all about! Know the ropes… know what the EA is trying to accomplish! That way you have a better chance of not blowing your account!!! Just my 2 cents!
Scalpers are much easier for brokers to clamp down on… simply because they are susceptible to spread widening and spikes.
EAs that don’t use this strategy have a vastly better chance of succeeding if the logic is sound (which is rare)
Exactly! The problem with automation is it is based on mechanical indications… since most (if not all) indicators are based on what has happened and not what is happening it makes any short term EA susceptible to broker manipulation! Even the higher time frame EAs are susceptible to a certain degree. When I first made the change from stocks to FX… I was always on the hunt for indicators… thinking I could find the one that will give me that edge!!! Then it grew into the search from the EA that would beat the broker and let me just say that lasted for around a year! Now I have come to the realization that nothing but my own judgment and knowledge will help! While I still use indicators to some degree… I based my trades primarily on the candles and what they are tell me… and its paid off! The point I wanted to make to some of the new people joining the ranks in FX… there is no grail! There is nothing out there that will give you that edge except for what is between your ears! Simple as that.
Another thing I wanted to comment on… your statement above. I totally agree with you… less the grail part LOL!!! But unfortunately, this will never become a reality on the MT4 platform… it cant! It is simply so restrictive in what can be done… if the EA gets too large then speed will become a problem… to small… well then its missing too much logic to function as intended! Now, this can be done today!!! But you would need to go to a broker that offers an API and program it in a real language such as C++, C#, or even VBNET… something like that but it will not be possible with MQL… at least not MQL4… maybe MQL5???
This is a common mis-conception. There may be differences between execution on real-money and demo accounts (only with “scalping”-type robots!) but they are no more dramatic than differences between account on different brokers.
The reason is simple: the Forex market has no central exchange like the commodities or stock markets.
That being said, if a robot has a winning strategy it will most likely be good with any broker.
Oh, and those micro lot “real-money” accounts used by that site… they are treated by the broker[B] exactly like a demo account.[/B] so them claiming to test on real-money accounts in no more than hype.
Hi
Welcome to forex world! I recomend babypips school to start.
2nd, get a demo account get comfortable with an MT4 so you know how to place, modify,close a trade, this is important when you use an a EA (robot) and something is going wrong and you need to step in.
I’m fulltime trader and I use megadrid (EA), frexgator (signal service) and trade manualy. In my opinion it is better to start using signal service so you can analize signals and learn from it. Good luck.
I definately tried and compared micro account with “regular” demo accounts. The differences are due to the execution servers being different.
HOWEVER, and this is crucial, micro-account servers are un-monitored and do not ever dispatch trades to the “real” Forex market. They essentially run unattended in a closed loop - exactly like a demo account. I verified it with an aquintance who works at one of the large brokerage firms.
Therefore testing strategies on a “real-money micro account” is exactly like testing on a demo account!
No pros but actually one con: it uses ridiculously small trade sizes