Learn You How To Pick Out The Most Profitable Forex Trading Robot
Dear forex trader… How many times did you asked yourself “how to select the most economic forex trading robot ?” How to choose one of the million? Yes, I am certain that the idea of making a software that is capable to automatically trade your forex account without the movement on your part sounds very interesting. BUT there are some important elements that you need to look at when selecting a forex trading robot.
First of all you should take a look at “Live Trading Results”. That is by far the most important component when deciding whether an auto trader is worth your attention. It means tested instructions of real money (not demo) account covering reasonable number of time. Forward testing demo account is also really important affair. It is not as good indicator of the robot functioning as live trading but still it gives you a good indication of whether the software system will performe better in the real world. The main reason that the demo account is not as time-tested as the real one is that in demo accounts you usually get much better fills (spread, slippage…) therefore making better issues than they would be in the real account. This is specially true for scalping trading robots.
After that… Back Testing! This is the least intuitive EA (expert advisor/trading robot) operation indicant due to the fact that numerous forex trading robot developers use dishonest overoptimizing techniques where they take a set of EA parametric quantities and variable stars that would have worked well in the past BUT there is no proof whatsoever that such set of parameters will work in the real trading…
Profit Element – it should be no less than 2 and relative and maximum drawdowns should be reasonably small. Vendors Web Site – Actually this can be a good indicator of what kind of forex trading robot you can expect. If you find out a website that is full of bad marketing language, such as “triple your money every 2 weeks” or if the seller is speaking about luxury machines and mansion houses that you will buy after you use his software you should stay away. You should look at places that have tested explanation of the software, it’s logic and performance. You also need to make sure that there is a serious tecnhical support for that software. Check it out by asking some simple question and see how quickly they could answer you. One business day should be max.
Once again , you should approach selecting a forex trading robot software in the same style as you would approach any other business speculation.
Good luck!
This entry was posted on Wednesday, October 27th, 2010 at 7:56 pm and is filed under General. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.