Trading robots definition – Comparison & examples
Trading robots are software from the computers used to conduct forex trades automatically. We also know it as an artificially intelligent (AI) trading algorithm.
It studies the forex market on its own to hunt for analytical patterns that could lead to profitable trading. It then employs this data to calculate the most helpful trading entry and exit points.
These robots operate by keeping an eye on the foreign exchange market. They are programmed to automatically identify technical patterns such as momentum, breakouts, and reversals that present trading opportunities to the trader or investor.
If a pattern is spotted, forex robots will place an order of buy or sell to enter a position in the market.
Once complete, the robots will instantly exit the station to profit from the transaction. A stop-loss will be applied automatically if the projected price movement does not occur or if the deal goes against you. This will help to keep the repercussions of the trade to a minimum.
Trading robots are pretty similar to forex signals. The primary distinction is that they trade on your behalf automatically rather than manually. Whereas it is up to you to determine which signals to trade on and ignore, forex robots will trade on whatever movement they encounter without hesitation.
Examples of trading robots:
Below are some of the best examples of trading bots one can use.
When dealing with verified accounts of Myfxbook, this robot has a 93 percent trading success record. It uses a low-risk trading strategy with less than 20 percent drawdown.
A vast number of systems, including NFA, MT4, MT5, and others, are compatible with the software.
This robot also makes it simple to get started in as little as 5 minutes, with comprehensive installation manuals and instructional videos! Another noteworthy component of this broker is its customer service, provided by a pleasant and highly responsive support crew.
Additionally, there are various controls to help you avoid unfavorable market situations.
Suppose you’re still not convinced about Forex Fury. In that case, the robot’s website showcases some of the fantastic trading outcomes it’s produced with both live and demo accounts over the years.
All of these accounts are with reputable and secure brokerage firms, and the feedback from clients has been overwhelmingly good!
To purchase Forex Fury, you have two options. It costs $229.99 for a Gold account, including a single live account license and unlimited demonstrations, high-performance settings, free upgrades, and a lifetime subscription. The Diamond package costs $439.9 and includes an additional live account license.
This robot is the perfect solution for traders who want to produce robust and reliable data. But do not have technical knowledge or time to alter many parameters and filters daily. These are those who are new to the market.
This robot is widely regarded as one of the most fantastic and technologically advanced trading robots now accessible to retail traders. However, unlike many other Forex robots, this one has only a few settings and is quite simple to operate.
It should come as no surprise that the long-term productivity of this bot has been exceptional. It has regularly outperformed the market in a wide range of market situations, demonstrating strength and consistency.
MyFXBook has independently confirmed the findings of this robot, which is a significant plus in this case. While selecting a Forex robot, ensuring that the results have been independently verified is critical.
You should purchase a robot while considering that it can provide you with this assurance.
This Forex system’s success is due mainly to using a cutting-edge algorithm at its core, which is at the forefront of technological advancement.
The algorithm was created by an experienced Forex trader and is updated regularly to consider changing market conditions. The setup process is quick, and the interface design is simple to operate, surprising for a robot of this caliber.
It should be no surprise that the 1000pip Climber robot is among the most well-known and widely used robots on the market. On TrustPilot, it has received an almost flawless rating of 4.7 out of 5 stars from users.
Additionally, many customers appreciate that they can receive direct assistance from the experienced trader who built the system. Adding additional mentoring to retail Forex traders’ training can considerably improve their long-term performance.
To find the most incredible Forex robot today, you should look no farther than the 1000pip Climber System. It has fantastic performance, a simple user interface, and continuing support, making it the ideal choice for most traders worldwide.
Now is a perfect moment to get the 1000pip Climber System since the creator is presently running a flash sale in which the price has been dropped from $299 to only $97 for the duration of this month. As a result, if you join them today, you will receive one of the most exceptional expert trading robots ready at a discounted rate.
FX Master Bot
This is a web-based software that provides automated trading services for the foreign exchange market.
In simpler terms, this implies that you will not be required to download or install any software on your device at any time.
However, the system enables the execution of any trades at any time. The core algorithm will search thousands of cryptocurrency markets and forex throughout the day’s trading session regarding how it operates.
You will be notified when the algorithm identifies a potentially profitable trading opportunity.
Having said that, FX Master Bot enables you to take action based on your findings on your own. That is to say, you can choose to have the necessary entry and exit orders placed automatically every time a new signal is received.
Out of a total of 17 major currency pairs, the bot also supports five cryptocurrencies. The bot is started once you have made a deposit of at least $250, which is the bare minimum.
This implies that you will be able to set your own stakes, guaranteeing that the bot only trades with quantities that you feel appropriate.
This bot is a web-based service that gives its customers forex and cryptocurrency trading signals. A significant promise made by the platform is that it generates a daily average return of 2 percent.
This provider’s big claims are made all the more impressive because it allows you to test-drive their signals through the use of a demo trading.
This enables you to check the accuracy of the trade advice before putting your own money at risk by following them.
When it comes to placing your trades, Algo Signals has collaborated with a few regulated brokers to make this possible. Taking this precaution guarantees that you can respond to signals securely and safely.
A critical aspect of receiving real-time trading signals from the platform is that you will be supplied with all relevant entry and exit points for the trade.
This includes the vital stop-loss order value, which ensures that you’re always in a spot to reduce your potential losses if the market declines.
It is considered one of the top social trading platforms globally. For the same reason that forex robots start trading relies on statistical analytics, eToro allows you to follow the trading activity of skilled staff.
This is why it makes our list.
This technique will likely protect against the over-running of a trend in the same way that a purely programmed forex robot might be subject to. This platform enables both novice and experienced investors.
It contains the capabilities and features necessary to assist most investors in increasing their trading yields. For investors on the system to be acknowledged as experienced professionals, eToro has developed the Pro Trader certification program for them to pursue.
This assists in confirming that copied trades originate from actual professional traders who are knowledgeable in their field. Instead of simply replicating individual traders’ trading patterns and results, you may also keep track of the most excellent pooled trading/fund accounts.
eToro is a registered broker for stocks, CFDs, forex, and other financial instruments throughout much of Europe. It is the leading player in cryptocurrency trading in the United States.
Types of trading robots
EURUSD Expert Advisor
The very first robot on this list of forex robots is designed to trade the EURUSD currency pair. This is the most famous foreign pair in the market. A major reason why most traders prefer the EURUSD is because of its market volatility, which makes earning gains from it much more manageable.
It is believed that the exchange rate accounts for around 25 percent of the total daily volume of trade on the forex market.
Because of its enormous high demand and trading volume, the EURUSD has one of the tightest spreads on the market, compared to other currencies.
Furthermore, the EURUSD is a currency pair that reflects the currencies of two significant economies globally, namely the United States of America and the Eurozone. The United States dollar is the reserve currency of the world, while the Euro is one of the world’s most important currencies in terms of trade and economic importance.
Because of these benefits, most EAs are designed to trade the EURUSD pair. Expert advisors for the EURUSD currency pair are often created to ensure that traders make the most money possible while trading the exchange rate.
EAs are developed with the exchange rate features in mind, allowing traders to profit from the robots even when they are not actively trading.
The EURUSD is typically the currency pair that is most heavily influenced by current events. These are interest rate announcements and non-farm payrolls, among others. This means that the EURUSD pair changes significantly, making it an excellent pair to trade. It makes sense since you will not profit from them if it does not move.
Trade with moving averages is a popular strategy in the forex market, and it is utilized by many traders.
In addition to detecting trading chances, moving averages are markers that balance out the fluctuations of currency pairs over a specified period, which makes recognizing trading opportunities easy.
The moving averages can be utilized in forex trading, including detecting the current market trend and executing orders based on the crossover of two moving averages. Also, marking significant support and resistance points.
Moving average-based forex robots often use many different ways to employ the indicators to generate income.
Most traders choose news trading because it has the potential to earn significant returns in a short period, which they find appealing.
Depending on the statement, the stock market typically reacts to important economic announcements by increasing or decreasing in value.
It is typically built with parameters designed to help traders make the best trade decisions during economic announcements such as inflation and unemployment.
With the help of a trading program, you can take advantage of the increasing volatility that occurs during news releases to boost your trading gains.
How to use trading robots
You can start trading passively as soon as you’re ready. The methods outlined below will teach you how to get started.
In this section, we will use Learn2Trade signals.
Step 1: Create an account with Learn2Trade.
You’ll need to sign up for Learn2Trade’s free membership program to get things started. In this regard, the platform provides you with two possibilities. As previously stated, you have the option of opening a free account, which will provide you with three signals per week.
If you sign up for the premium account, you can expect to receive 3-5 signals per day on average. It costs £35 a month with a 30-day money-back guarantee.
Step 2: Join the Learn2Trade Telegram Group.
Following your registration with Learn2Trade, you will be given information regarding the group’s Telegram channel.
Step 3: Create an account with a brokerage firm.
To save you time, Learn2Trade conducts extensive research on the financial system and then advises you on which orders to place. However, it is necessary to have access to an exceptionally highly brokerage site to act on the indications.
Step 4: Obtaining Signals
The only thing left to do now is waiting for your phone to beep with an incoming signal once you’ve opened a brokerage account and joined the Learn2Trade Telegram community.
Step 5: Order Signals Placement
You must then proceed to your brokerage site and place the orders that have been recommended to you by Learn2Trade once you have got a trading signal from them.
Fortunately, Learn2Trade takes care of everything, even providing all of the needed order prices that must be placed. As a result, look for the proposed market, select a buy or sell order from the drop-down menu, and enter the advised limit, take-profit prices, and stop-loss.
How much do trading bots cost?
The forex trading robots’ costs vary substantially. But keep in mind that low-cost services may be offered at a low price because they lack in other areas.
On the market, you’ll find a wide variety of bots. Some are entirely free, while others charge anywhere from 10 to 100$ each month. It has its own code to follow. Some companies provide pre-built software, while others assist you in creating your own scripts.
Suppose a service cost less than $100 or so. In that case, you should take extra precautions and investigate the service to confirm that it is genuinely a better deal than more expensive ones.
Free trading robots
Smart AI MT4
This is a completely automated trading advisor that can operate in either of two modes of operation. Using the “Standard” option, the EA works according to a more basic scheme – the AI studies the chart of price changes and looks for a good entrance point into the market.
In this mode, the take profit, trailing stop, and stop-loss values are fixed and are determined by the values supplied in the input parameters, rather than being dynamic.
PZ Super Trend EA
These trades using the well-known super trend indicator: it is entirely faithful to the original algorithm while incorporating many other valuable features for the more demanding trader, such as multi-timeframe filters, customizable trading sessions, and a host of other practical features.
It is an automatic expert advisor for scalping trading. It uses a hedging strategy. This one requires attention, and in reality, it delivers a very flexible interface.
The Dark Absolute Trend indicator can manage its trades using various tactics.
The expert advisor can generate a very high percentage of profitable deals. A series of tests were conducted using the actual tick date with 99.90 percent accuracy, the additional slippages, the actual spread, and the highest commission.
Many different forex robots are available for purchase on the internet and in the forex market, all of which are designed to assist you in automating your trading process.
You will have almost total control over the operations of some robots because you will be able to determine how much money to assign to each transaction.
You can also know how many currency pairings it will watch and trade simultaneously and how frequently it will execute deals. You will only trade in the most profitable market situations due to avoiding highly volatile markets, such as those that occur soon after important news and announcements.
The expected win rates and precision in executing trades are essential considerations. When selecting a bot, the degree of danger that your assets are exposed to should also be considered.
Consider whether your desired forex robot employs high-risk trading methods. And whether it has built-in risk management techniques or supports those implemented by your forex broker, among other things.
FAQ – The most asked questions about Trading Robot :
How to know if I’m using the best trading bot?
Because many trading robots are offered in the online domain, selecting a single supplier is not simple. We have highlighted some of the top trading programs on this page; however, you should conduct your own research on these providers to see whether or not they are a good match for your needs.
Are forex robots really working?
Forex robots can be highly effective at identifying analytical setups and efficiently trading the foreign exchange market. Verify the winning rate and profit and loss records of a forex robot over some time in the past.
Is it necessary to have prior forex trading knowledge to use a forex robot?
No, the majority of these forex bots are reasonably simple to operate. You do not need to have any past trading expertise or exposure to other forex bots to use this one. They are accompanied by comprehensive user manuals that will walk you through the setup process step by step. A customer service team can assist you through the installation and setup process by social media, email, phone, or Skype. They are available around the clock.
How much money can I expect to make if I use a forex expert adviser?
The majority of legal forex robots are extraordinarily effective and can surpass the average forex trader in terms of returns. In addition, while there is no assurance about how much money you can make with a given robot, the return on your investments is primarily determined by the trading parameters you choose. It is recommended that you continue with the default settings suggested.
How do trading robots actually function?
Trading robots are not flawless and cannot be relied upon to generate a profit over the long term, as they are programmed to operate automatically to carry out trading activities. At their finest, they may be a beneficial tool for forex traders to employ in order to make well-informed trading decisions.
Are trading robots available for free?
Trading bots are used by experienced traders for the benefits they provide; they are user-friendly for beginners as well, who tend to learn about the platforms. There are various trading robots that are available for free to understand the features and functionalities before making any deposit.
Is it possible to find reliable trading robots?
There are various established and well-known trading bots for cryptocurrencies. It is well-liked by experienced traders who trade in the stock and forex markets objective of improving trade efficiency and revenue. With the use of these robots, you can trade through this platform, place your crypto exchange and deal with exchange.
Can you become wealthy by using trading robots?
Yes, of course. For this reason, a lot of hedge funds, banking institutions, and major financial institutions recruit experts in machine learning and algorithms. These individuals are responsible for setting up automated trading bots to compete with actual markets and handling large sums of money.