Just who are these automated trading programs best for? Can anyone use them? Do they work on all and every market? What benefits do they offer to traders? Finding the answers to these questions will help decide which trading robot is right for you. Automated trading software is available for a wide variety of markets, however, the most popular and profitable ones are those built for trading forex. If you trade forex then there is a good chance these automated trading programs can help give you that much needed trading edge. So just what benefits do you stand to gain from using a robot? Trading software can give you a trading edge thanks to their back testing ability, adherence to trading rules and fast execution of trades.
Many traders fail to thoroughly back test their trading system. This is an area that trading robots shine in and they can be extensively back tested to ensure that their trading rules and system are profitable. This gives you peace of mind knowing that the robot is trading using a system that has been proven to be profitable. If you’ve spent any amount of time trading then you will know how difficult it can be to even find a system with a set of solid rules and even harder to find one that is profitable. Back testing can be time consuming and inaccurate thanks to human error, however, trading robots by their very nature can be tested at blazing speeds and with zero errors, all thanks to the power of home computers. This makes it easy for you to see how changes, regardless of their size, would affect your trading setup and its profitability. This helps to give you a true trading edge.
Another advantage of automated trading robots is their ability to execute trades at speeds far beyond what most human traders are capable of. This is of great benefit for opening, managing and closing of trades. How many times have you seen a good trade setup only to be too slow to pull the trigger and missed out on the perfect entry? Have you ever had a trade open only to see your profits evaporate because you were too slow to move your stop loss to lock in your profits? Have you ever woken up in the morning to discover that your trade went into profit overnight but you were away from the computer and unable to close it securing your profits? These are all perfect examples of common problems that trading robots easily fix. They make it possible for you to step away from your computer and handle other matters in your life. There is no need to be glued to your screen 24 hours a day.