Description: Are you looking for accurate automated forex strategies? Here is what you need to know
Most of the time, individuals who are new to the forex trading spend a great deal of time trying to find the best automated forex strategies. Interestingly, most of them do not bother to confirm the existence of such software. When people are talking about automated trading systems what they are referring to are those expert advisors that will help them get the same type of returns seen on top trading accounts. Here we take a look at the pros and cons of using such forex trading strategies
If you are not conversant with automated forex trading strategies, just get on Google and do a quick search for “Forex Robots”. You will be presented with over 10 million results showing thousands of forex trading strategies with each of them promising different levels of outstanding results. On closer inspection, you will find that they all have outstanding back test results.
Forex strategies and back tests: What you must know
Back testing is a good way to find out if your system will be able to survive in real life market conditions. However, peddlers of forex trading strategies use this to their advantage. They created the software or system and so they know where to tweak the settings so that it will be able to suit the data that they are running the back tests on. So before you start calculating the potential billions you are going to make using that software just know that the back test results you are looking at have been tweaked a whole lot before that final result you are looking at was arrived at. As a forex trader, you need to know that there is no guarantee that the trading decisions you made last week which got you 500pips will get you the same 500pips tomorrow. It could be more and it could be less. Heck you may even hit 1000 Pip loss. This is the cold hard fact about trading that most vendors don’t want you to understand.
So are all automated forex trading strategies a waste of time?
This is not the case. In fact, most of the big traders make use of automated trading strategies to get into positions and exit but they are always on hand to modify these systems to stay in line with current market realities. Also, they do not fool themselves into believing that their system can make them 1000% ROI weekly. So, you need to ask yourself if you have what it takes to effectively manage your automated trading strategy. Of course this will require some MQL coding ability and an understanding of how the system functions in the first place.
So what are you supposed to do?
The best advice is to quit looking for the best automated trading strategies. They simply do not exist. The best trading strategy for someone else may be your worst nightmare. Therefore, your focus should be on creating a trading system that will help you grow your trading account steadily. It may not give you 100% ROI in a month but then, how many investment vehicles give such returns?
Get a free Forex PDF PLUS:
- 14 Video Lessons
- Free One-on-One Training
- A 5000$ Training Account
- In-House Daily Analysis
- Get FULL ACCESS