Automated Trading Systems - what are the Pros and Cons? It's commonly known that the future dynamics of prices can be predicted by technical analysis of the Forex market. There are many theories and methods of technical analysis, that are able to be coded and used in an automated way. Whether you use your own or a borrowed trading system (as long as it is profitable) you will be able to build an automated trading system which is also called a robot or advisor. Used in a trading terminal it can be built using a programming language. There are advantages and disadvantages to trading robots which will review here and come to a conclusion. What are the advantages of automated trading systems? The Speed This is probably the greatest advantages of automated trading systems. Any program has the capacity to monitor up to several dozen trading tools and will make pre-coded choices for all of them and then perform the trade operations. No trader is capable of achieving such results The Accuracy Another large benefit when compared to people. A mt4 expert advisor programming can easily perform any trading operation based on programmed price whether it is position opening or closing. And there are no errors when trading volumes. Period of performance These programs have the capacity to work for twenty-four hours per day or for as long as required and an automated trading system will not miss the chance of placing an order to trade. The absence of emotion An undeniable advantage over traders. Even trading professionals find their behaviour is affected by psychological influences which is something that automated trading systems do not do. Modernisation An automated trading system permits you to alter a program's code, changing it for the continually moving market conditions and differences within a trader's trading system. You can add necessary functions at any time. Automated trading systems also have several disadvantages otherwise manual trade would have become a thing of the past long ago. We can review them here: Difficulties of development In order to create an automated trading system it is necessary not only to be a coding specialist, but also to develop your 'manual' trading system, from which you can then create a trading robot. Once you have actually put together a manual trading system of your own there would be no guarantee that there wouldn't be any mistakes when you referred it to a programmer. Only uses technical analysis Many automated trading systems have this disadvantage. Programs are not able to take into account the influence of fundamental data on quotes dynamics on the Forex market The Absence of emotion An advantage but a disadvantage too. All automated trading accounts are devoid of emotion and intuition so do not know not to empty your account. As it behaves as it have been programmed to do, the program wouldn't stop when it would be obvious that it should. In case of emergency situations an ichimoku expert advisor can't get on the phone to

your broker if you lose your internet connection to cancel or place an order. A fault within the automated trading system hardware will lead to inevitable losses. So having seen the advantages and disadvantages of the automated trading systems, we can conclude that: Trading robots give traders several undeniable advantages, but you should use automated trading systems intelligently and constantly monitor and modernise your systems.