Pros and cons of advisors when trading forex
An advisor, or trading robot, is a script that automatically opens exchange trades based on a predefined algorithm.
The advent of such scripts revolutionized trading, and these programs have enabled many hedge funds to earn billions of dollars.
The main attraction for traders is the ability to earn money without extensive knowledge of stock trading.
After all, all you need to do to profit is download your favorite advisor and install it on your trading platform.
So what's behind the ease of use and the promise of thousands in profits? Is it really that simple, and what are the pros and cons of such robots?
• Trading using algorithmic trading is actually easier than trading manually.
• Large selection of advisors, both paid and completely free.
• Possibility to pre-test the script on history or a demo account.
• Automatic trading, which allows you to not be constantly in front of the monitor screen.
• The influence of the human factor is excluded, meaning that transactions are closed strictly according to the algorithm.
That is, there are indeed quite a few advantages, and for many, such a solution may be a very suitable choice.
Well, now about what the developers and sellers of expert advisors try not to talk about:
• It's not that simple - to install, test and configure the advisor you need to have certain knowledge.
• Broker ban - some brokerage companies do not approve of the use of automatic scripts by clients. Broker for the advisor - http://time-forex.com/vsebrokery/brokery-sovetniki
• Draining advisors - a small percentage of stably 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.
In conclusion, I would like to add that it is indeed possible to make money with the help of automated trading, but it would be a mistake to call this type of trading an option for a beginner.
In order to find a really working advisor, you will have to spend more than one month, and even in this case, no one will give you a guarantee of complete protection against draining of the deposit .
