Forex bots are often known as EAs or expert advisers. EAs, bots and trading bots are just a bunch of codes to analyze and predict the market trend. Some of the advanced EAs can even execute random orders and trade on behalf of human beings. But when it comes to success rates the automated EAs never work really well. However, with some minor tweaks and using some manual adjustment, traders can easily improve the trade execution process using EAs and bots.
This article is going to change your trading career. We will teach you some analyzing ideas that you can use while using an EA. If follow the tips of the article, you can expect to become a skilled trader like the pro-Singaporean investors.
Table of Contents
The sentiment of the market
The EAs can only analyze the technical and fundamental data. At times they fail to assess the fundamental data since the market often reacts to the rational data in an irrational way. So, it’s not the fault of the EAs for getting the wrong signals. Focus on the sentiment of the market. This is something that you need to do all by yourself. Unless you can analyze the market sentiment there is no point in trading the market with real money. Let the EAs do the technical and fundamental analysis. On the other hand, you need to analyze the market sentiment to assess the quality of the signals.
Never run EAs in automated mode
Running the EAs in automated mode is a very common practice. Even the intermediate traders often incorporate the EAs to their trading platform so that they can earn money without analyzing any important data. But if you do so, you are going to lose a big sum of money during the major economic news. Think about the ECB press conference. Do you really think your EA can decode the message of the ECB chairperson and take the logical decision? You need to manually execute the trade in such situations. Using the EAs in the semi-automated mode is the most logical step. Never give full control of trading to the machine since it will fail you in the long run – navigate here to learn more about that.
Bringing necessary change
The Forex market is evolving in nature and it’s very hard for the retail traders to predict the price movement by using the same old concept. Similarly, the EAs and trading bots need to be updated regularly so that they can keep pace with the dynamic change of this market. Think about the professional traders who have years of experience. Do you really think they are using the old trading method to trade the modern industry? They have changed their trading strategy from time to time just to keep pace with this modern world. So, revise your EAs code so that you don’t have to lose money due to a minor market update.
Learn to trade manually
Traders need to have the ability to assess the market condition manually. Unless they can trade the market manually it will be impossible for the retail traders to assess the quality of the EA. Things are really hard when it comes to the retail trading business. The professional traders are always taking managed risks to earn a huge amount of money because they know how things work. Trading is a very sophisticated business. The moment you start relying on the bots and EAs is the moment you lose partial control of your trade execution process. But intelligent traders always consider this as their advantage. They focus on the EAs data and analyze the market condition to process a new order.
Changing your trading career based on EAs is a very difficult task. But if you follow some of the tips of this article, you can expect to make a big change in your career. So, work hard and follow these rules to secure your financial freedom.