For both beginning and experienced traders, automated forex trading is one way to invest in the forex market.
With these computer programs (known as expert advisors, or EAs), you don't need to study and analyze charts to find the perfect market configuration. The automated application is programmed to do just this. All you need to do is install and configure the EA so that the system executes your chosen strategy on the MetaTrader platform.
While this may sound too good to be true, it is actually a very real and potentially profitable way to trade the forex market.
The main advantage of this method of trading is that one can make profits on autopilot! A trader no longer needs to spend a bunch of time in front of his screen. Unlike manual trading systems (discretionary trading) which impose high demands on the trader, both mentally and physically.
The robot is not influenced by emotions
Unlike traders, these systems are not influenced by emotions. Robots don't lose their cool, they don't cut a position prematurely and they will take losses as defined by the strategy. They don't cling to a losing position in hopes of a market reversal. They trade the strategy exactly as it is defined and nothing else.
Forex trading 24 hours a day
Automated trading operates continuously, day and night. This increases the number of potentially profitable opportunities that can be taken advantage of.
Automated systems (Expert Advisors) are developed and made available to investors for the MetaTrader trading platform. An Expert Advisor is a sort of program that can be configured on the MT4 platform to automatically execute a predefined trading strategy.
A trader simply needs to install and configure the Expert Advisor on his or her trading account so that the strategy is automatically executed. Installation instructions are included with each EA, and the installation process usually doesn't take more than 5 minutes.
Expert Advisors for MetaTrader
Some traders sell their EAs. Here are a few EAs that have proven to be quite profitable. Their track records can be verified on an independent analysis site such as Myfxbook. Nevertheless, past results are not necessarily indicative of future performances.
Create your own Experts Advisors
If you don't know MQL4 programming language and you want to automate a trading strategy, there are several solutions. Call a professional programmer or use software that allows you to develop an EA without any programming knowledge.
MetaTrader 4 Tutorials
The MetaTrader 4 trading platform is very popular with forex traders due to its automated trading functions. Here are two tutorials to help you learn how to test and optimize an MT4 Expert Advisor.
MT4 hosting on a VPS virtual server
Hosting of a trading platform on a virtual server is essential for automated trading. A VPS runs 24h/day on a server that is entirely dedicated to the running of an EA. The VPS reduces latency and increases security. Traders are protected from any eventual power outages or internet connection interruptions and are not forced to permanently leave their computers turned on.