Forex Auto Trading
Forex Automated The Key To Trading Flexibility Expert Traders often use the automated trading methodology to execute market orders when they are not able to be in front of their computer. The Forex market, like its counterparts (Stock and Bonds) does not have a central exchange. All trades are conducted online through a trading software 24 hours a day and 5 days a week.
It maybe 3 in the morning, but a trader using the automated technology will not miss a trade. All he has to do is input the currency pair and targeted amount that he wants to buy or sell. To execute the trade, he has to set a deadline, which if hit, executes the trade.
One can limit automated trading sessions according to their needs. It can be a 24 hour period or even longer if required. It depends upon the opportunity and the trading strategy. As a follow up, a trader can setup multiple set of trades, all on automation.
Automated trading kills trading indecisions
In trading, indecision is a common element. A trader may see an opportunity, but maybe weary of executing it, regardless of how good it maybe. Using the right software, the trader can avoid the volatility of the mind. The trader can set the right rules and can also edit any of the trades he manually set. Automated trading at times offers peace of mind.
Online trading is virtual. There is nothing tangible bought or sold. Since a country’s economy can change due to extreme external influences like natural disasters, Geo-political wars, etc, it is not recommended to take part, unless experienced in the market behavior. The initial account opened should be a test account to understand and test automated trading.
Automated trading, while offering peace of mind and emotionless trading, can be disastrous in certain conditions. Since it cannot sense and judge external events, it can, many of the times, lead to heavy capital losses.
Lastly, it is all about experience. Once you have gained enough understanding as well as confidence in your automated strategy, you can take the risk of trading while you sleep, or even if you are out of town celebrating your big wins.
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