Most of those, who are trading on Forex market, have probably faced the so-called “missed deals” issue. If you are reading this article, it is likely that you have also suffered from it. I want to share my experience and an insight that helped me to dramatically increase profitability.
It is worth mentioning that I started trading on Forex with a tremendous wish to become “the great trader” and fully correspond to the image, which is imposed by television. However, the lack of financial resources and low level of the market development prevented me from achieving this goal. After a while, I finally designated a set of optimal conditions that fully satisfied my needs using my own experience in working with several trading brokers. However, even my deep knowledge, gained from the dozens of books did not bring me closer to the desired results. It took me at least half of a year to create a full-fledged profitable trading system.
I’ve got a powerful insight that I need not intervene into the working algorithm, but expand trading options in order to gain higher profit. Forex market is a unique platform, which works 7 days a week. However, I used only one third of its potential, as I traded only in the European session. It means that I traded 8 hours instead of 24 hours.
So, after familiarizing with the market for a while I upgraded my knowledge, but not the level of profit. Eventually, I decided to buy a forex robot in order to improve the performance.
It is not an easy task to choose a forex robot. There are paid and free versions of robots, which correspond various needs and strategies, both simple and complicated. The first lesson I learned on a forex market was that I have to invest in quality software in favor of my own deposit.
I started to check the review websites, which specialize on trading robots. You need a forex robot that would consist of the hundreds of algorithms for trading based on the setting parameters. So, spend some time wandering around the web to find some proper reviews on robots from traders.
Here is a list of helpful advice:
1. Read the reviews to understand the robot productivity and check the current clients’ results.
2. Find out how fast a particular robot can be optimized to your needs and keep in mind that the trading market is constantly changing. So, make sure you would be able to promptly adapt your robot to the actual market conditions.
3. Monitor the new robot models that appear on the market and compare their performance. Robots developing companies are constantly trying to develop more complicated systems and adaptive models. They want to provide the trader with the most successful tools.
It was a long and hard way of learning and mastering my trading skills before I found out that investing in software is the best way to avoid mistakes and problems in future. I have even lost my first deposit but still continued to study the trading market for 18 months. After that, I bought a couple of trading robots, tested them and picked the best one. Find out more about the automatic trading here: https://en.wikipedia.org/wiki/Foreign_exchange_autotrading
How to test a forex robot?
Today I would like to tell you how to test a forex robot, relying on the historical data and MetaTrader 4 software. First of all, you need to install the forex robot into the MT4 terminal. Then, set the number of bars in the history of quotes, which is based on the top “Service” menu and at a “Quotes Archive” sub category. After that choose a “Graphs” bar and enter a 100 000 000 number into the “Maximum set of bars in the history” and “Maximum set of bars on a page”. Press an OK button.
To get the quotes on the needed currency pair and test them you need to open a “Service” tab with a history of quotes or hit F2. Then choose a necessary pair with M1 time frame and press “Download” button. After a while the quotes would be downloaded, so you should restart your terminal. After that enter the archive and press the M1 time frame with the left mouse button, until the gray icon becomes yellow. To start the trading robot test open the strategy tester and press Ctrl+R. Then choose a currency pair, time frame and the type of a test. Finally, press the “Start” button and enjoy the results.
So, I tested numerous demo accounts and used various trading robots. I consider it as the main reason why I have become a successful trader. The second lesson, I’ve learned is that thoughtful preparation is a key to success. Learning more about forex market and mindfully investing you are protecting yourself from the losses.