Before deciding to use EA, it's a good idea to learn tips using forex robot. Trading robots are created to reduce psychological factors in trading that can adversely affect the trading decisions you may make.
Most robots are made with the MQL programming language for MetaTrader, so they can generate trading signals, and even automatically make transactions based on these signals.
The signals that are generated are mostly from technical indicators for MetaTrader, both built-in indicators and custom indicators.
It is often found that forex robots (EA) are very profitable in the short term but their long-term performance varies, that’s why people need the tips using forex robot.
Sometimes the benefits are very large, but sometimes the losses are not small. Some can last quite a long time, but the results are not satisfactory.
It happens because forex robots are based on certain trading strategies that have distinctive characteristics. The problem is, the majority of trading strategies are not "resistant to all conditions".
Get to Know These Easy Tips Using Forex Robot
Some strategies are suitable for trending market conditions, some are suitable for sideways / ranging market conditions. In fact, it is very rare for a robot to accommodate all market conditions.
That is why there are robots that are very profitable when the market is trending but are destroyed when markets are ranging. Likewise, vice versa. Several ways to use the robot have been recommended by the best forex broker, including:
1. Avoid the notion that robots are a "holy grail"
Robots are always based on trading strategies and there is no holy grail of trading strategies, in the sense of "never losing". Therefore, no robot never fails.
So make sure the forex trading robot you use provides a stop loss feature or other risk management tool to limit potential losses.
2. Do not let the robot run unattended
Robots can indeed execute transactions without your intervention as a trader, but that is not necessarily an excuse not to monitor the running of the robot. Robots are like machines that still need human supervision.
If the robot's performance starts to decline, let alone a minus, it is very likely that the strategy "implanted" into the robot is not suitable for the current market conditions. Therefore, the tips using forex robot is that you can consider temporarily stopping the robot.
It doesn't take 24 hours to supervise the robot, but at least take the time to check the condition of your account, for example, two or three times a day.
Most robot sellers use the slogan "can trade even when you sleep". There is nothing wrong with it, but it is not advisable to swallow it raw.
If there is an economic data scheduled in the middle of the night, and you can't stay awake monitoring it, it's better to temporarily deactivate your robot.
3. Use a backup robot
Because the robot (EA) works based on the strategy programmed into it, there is a possibility that the results will not be as expected because the strategy is not in accordance with the current market conditions.
Therefore, it is better if you temporarily switch from the robot (EA) to a backup robot with a different strategy, or if you trade manually with a different strategy.
4. Understand and master the robots used
By mastering, or at least you understand the strategy used in the robot (EA), then you will know when the robot should be activated or deactivated.
5. Prepare sufficient capital or above recommended
This is very important. No matter how sophisticated the trading strategy is programmed into a robot, it will not be optimal if there is not enough capital, it can even lead to failure.
For that, do a back-test on the demo account of the Didimax forex broker to find out how much capital should be prepared.
Remember to keep learning the strategy that best suits your trading style. Tips using forex robot will only be successful if you can trade calculatedly.
