What is “Forex Advisors” and automatic trading
In the Forex market, at the request of a trader, you can conduct automatic trading using special programs. These programs are called forex advisers or trade robots.
The forex advisor is built into the trading terminal. The program monitors all signals submitted by the market, analyzes them and independently decides whether to close or open a position.
Forex advisers allow you to trade and make a profit even for beginners , who are poorly versed in this foreign exchange market. But is it worth it to fully trust this program?
Professional traders today do not work on Forex without the use of trading robots. Many of them use not even one, but several such programs. But at the same time, few of the professionals will trust the advisors to conduct independent trade.
Advisors forex determine by their algorithms the market trends for different currency pairs. It is very difficult for one person to follow these trends. The adviser helps the trader find currency pairs for which any trends are indicated. This allows you to make profitable trades on them.
A trading robot allows a trader to trade not only more profitable, but also convenient. After all, the main task of any adviser is to track the emergence of trends and signal the trader.
Modern forex advisers can also conduct independent trading, provided that the trader will allow them to do so by setting the necessary settings in the settings. But keep in mind that the adviser does not keep under the constant control an open position. The algorithm of these programs provides that the adviser should find the currency pair, which should open the position and put automatically stops. At this work of the trading robot is complete.
After the adviser opens the position, the further course of events does not depend on him. Whether the correct decision was taken by a trading robot or not, only time and the Forex market will show. The closing of the position opened by the adviser with profit should be expected only if the market behaves in full accordance with the algorithms that guided the robot.
But the market is the market. And he behaves far from always predictable and predictable. He can always go a little before reaching the point of profit taking, turn in the opposite direction and then the position opened by the adviser will be closed at a loss.
And it can all turn out and vice versa. The adviser will close the position in accordance with its algorithm, and the currency pair will move for some time in the right direction. This will lead to the fact that the trader will not get a profit on this transaction. Therefore, experienced traders never trust the advisers to fully conduct independent trading.
If you use forex advisors, and allow them to trade in automatic mode, then from time to time, monitor the positions opened by trade robots. If necessary, you can close the position earlier than the adviser has foreseen, or vice versa. Thus, you will be able to get the maximum profit from transactions, and prevent the adviser from draining the budget.
So, as you can see, even with the use of forex advisors, you still have to deal with all the subtleties and laws of this market. Often changes in the Forex market occur much faster than advisers have time to take into account and analyze. Selecting advisors for trading on Forex follows, guided by their own experience, rather than advertising agents receiving from partners a fairly large commission.