Pros and cons of advisors when trading forex
An advisor or trading robot is a script that independently opens exchange transactions based on the algorithm embedded in it.
The emergence of such scripts revolutionized trading; these programs allowed many hedge funds to earn billions of dollars.
The main thing that attracts traders to use advisors in their trading is the opportunity to earn money without having deep knowledge of stock trading.
After all, to make a profit you just need to download the advisor you like and install the program in your trading platform.
What lies behind the ease of use and the promised thousands of profits? Is everything so simple and what are the pros and cons of such robots?
• Trading using algorithmic trading is really easier than manually.
• Large selection of advisors, both paid and completely free.
• Possibility to pre-test the script on a history or demo account.
• Automated trading, which allows you not to be constantly at the monitor screen.
• The influence of the human factor is excluded, that is, transactions are closed strictly according to the algorithm.
That is, there are really quite a few advantages and for many such a solution can be a completely suitable choice.
Well, now about what developers and sellers of advisors try not to talk about:
• Not everything is so simple - installing, testing and configuring an advisor requires you to have certain knowledge.
• Broker ban – some brokerage companies do not approve the use of automated scripts by clients. Broker for an advisor - http://time-forex.com/vsebrokery/brokery-sovetniki
• Draining advisors – a small percentage of stable trading robots and a high probability of losing all available funds in the account.
• The problem of choice - it is quite difficult to find a working advisor among thousands of similar scripts, some work only in the terminals of certain brokers, others have already stopped trading because they were created before the trading platform was updated.
To top it off, I would like to add that it is really possible to make money using automated trading, but it would be a mistake to call this type of trading an option for a beginner.
In order to find a truly working advisor, you will have to spend more than one month, but even in this case, no one will give you a guarantee of complete protection against losing your deposit .