Hello everyone, as the title says I'm new to trading. I have been studying relentlessly over the past few weeks everything I can about trading. I am familiar with most technical terms, software and the best brokers out there to begin my trading career such as XM or FBS but I'm afraid my lack of experience will lead me to a black hole and end up losing my hard earned money, so I decided that for now I should get a nice and reliable robot to start my trading life while I continue to develop my trading skills. I've been googling for robots for a few days now and so far I have my target set on 3 but I still have doubts if they are legit or scams. I've heard that there are a lot of scam robots these days and life has taught me to be pragmatic and critical when the offer sounds too good to be true. They are EA PIP Scalper, GPS Robot and AlgoFX. I know that GPS and Algofx are the top most followed systems on this website so that is a relief but still I wanted to hear input from the most experienced guys out there what are their thoughts about this. Any experience trader could help me with that? Much appreciated. Have a nice day and good profits to you all.
If you are new to trading, you need to gain a lot of knowledge. In this case, you can take the help of different types of websites. You can read a variety of trading-related books and first you can develop a strategy by trading demo.
Welcome trader! It is a good move to start with robot trade. However, I will also suggest you to copy others trader trade and learn from them. In the meantime, you may also use the profit to do your trading too. It is one of the option.
thank you for your kind words. Anyone here has any experience with the bots I previously mentioned? I want to be 100% sure about what I'm getting into. I've read lots of people warning about scams and it seems there are a lot these days. The bots are: EA Pip Scalper (have doubts about this one) GPS Robot (1st most popular system on myfxbook) and Algo FX (2nd most popular system on myfxbook). I would appreciate if someone experienced could share some thoughts about this. Thank you have a nice day
If you are successful in demo by following a very specific methodology for a long period of time, you have higher possibility of doing good in live as well. But if you are random in demo, your chances are zero in live. When it comes to real money we start thinking a bit differently.
Most new traders take trading very lightly. Actually they have been told in most cases that trading is very easy work. There is profit and profit. Everyone is making money. When price will go high you have to sell and vice versa. They ignore the bitter reality of trading. If they were told that for trading first you have to be skilled enough, the things could have been much better.
Michihito posted: If you are successful in demo by following a very specific methodology for a long period of time, you have higher possibility of doing good in live as well. But if you are random in demo, your chances are zero in live. When it comes to real money we start thinking a bit differently.
Keep in mind that demo performance also will be better than real performance due to trading psychology.
thank you guys for all the input. I will definetly experiment all the bots I use in demo first. Even suposedly optimized bots in backtest end up performing poorly when people start using them in live accounts. I will continue to dig deeper before I make my choice. thank you
UweMoench posted: Most new traders take trading very lightly. Actually they have been told in most cases that trading is very easy work. There is profit and profit. Everyone is making money. When price will go high you have to sell and vice versa. They ignore the bitter reality of trading. If they were told that for trading first you have to be skilled enough, the things could have been much better.
Agreed, everyone is greedy to make profits without proper knowledge and skills. Rather than gaining profits, it leads them to gain loss.
I think the most appropriate approach towards trading is to implement the knowledge. If you have done your homework for the past few weeks, then why not try the micro account. As per what I know, there are some brokers who offer micro accounts like Fxview, XTB, Oanda etc. You can invest a small capital and check your strategy. If you lose a trade then also it will not be a huge loss to your money. Just get a hang of the interface and start trading and keep learning side by side. In my view a technically sound person in trading does not fit in the category of a newbie. Also, a trading robot would not be beneficial for you and instead try to learn how you can make your custom bot (I know it can be pretty difficult but highly rewarding too).
In Forex there are some mandatory things we the traders always have to observe, if we want to ensure a successful trading life. The first thing, acquiring proper trading knowledge by learning. for that reason we can choose a broker which at all times make sure best trading environment for acquiring proper trading knowledge by providing exclusive educational facilities . it would be great to be a knowledgeable trader rapidly.
Correctly said my friend. I too believe that nothing is more trustworthy than your intellect. If you have knowledge of the forex market and yet thinking to try robo trading, confidence is lagging somewhere. Just start from the micro or small lots, try to accept losses and learn from there.
djstick posted: hello. can someone give me an answer to my last question please?
I can't answer that question, but the supplier of the robot probably can. I assume you are planning on using the MT4 terminal to implement your robot. MT4 calls them 'EA' or 'Expert Advisor'. One thing you may not be aware of is that for consistent opening and closing of trades you need a rock solid internet connection that never fails if you are running the robot on your own computer. If the internet drops out on you even once, or the feed from your broker becomes interrupted even once when your robot is in a trade, that trade will not close, and you will have to manage that trade manually. If you don't, you could be in for a large loss, as the robot will lose the associated exit points for that trade whether it is a 'stop loss', or a 'take profit' exit. The best way to ensure 100% up-time is to use a 'VPS' (Virtual Private Server). Your broker probably can connect you with a VPS firm that they deal with. You want it to have their servers as close as possible to the brokers' servers to minimize lags in computer communication between the two. The lowest cost VPS service usually costs about $40.00 minimum per month, so factor that into your decision on whether to use your robot or not. Happy Trading!
The best part of the forex strategy is money management –make sure every time you trade , you don’t risk more than 2-3% of you account otherwise you will break your account pretty soon. I learned that lesson from my own experience.