Forex trading involves a huge risk. Lack of knowledge of the financial market, inability to soberly assess the situation and analyze the movement of the market can result in a trader losing all or part of the investment. But even experienced traders sometimes make mistakes, in addition, a person simply can not physically be around the clock in front of the monitor screen, watching the changes in the market.
To facilitate the work in the financial market, experienced specialists have developed special programs – automatic Forex advisors. These programs are created taking into account all possible fluctuations in the foreign exchange market and are designed to facilitate the task of the trader in terms of automation of trading processes. Automatic Forex advisors are created mainly in a narrow profile, that is, the program works by adhering to a certain trading strategy prescribed in its profile.
Automatic Forex advisors can work in automatic and semi-automatic mode. The automatic mode provides for setting the program in the desired range, with precise instructions regarding the currency pair and the lot size. Next, the EA does everything on its own, opening and closing profitable trades around the clock. Automatic Forex advisors working in semi-automatic mode act as a hint to the trader. In other words, the program, analyzing the state of the market, draws conclusions and recommends the trader to perform a particular operation. The last word remains with the trader.
Automatic Forex advisors, depending on the tactics and capabilities of the program, are divided into the following types:
- the Trend of automatic Forex advisors. This type of expert advisors performs operations only in cases of a strong trend, which provides a high percentage of earnings with minimal risks.
- Advisers-pipsovschiki. These automated Forex advisors perform a lot of trading operations in a short period of time. The principle of operation is to find a profitable trend, the rapid opening of the transaction, and its rapid closure with minimal positive result.
- automatic Forex advisors, acting on the principle of martingale. The principle of such programs is to open a position when the price falls on a certain currency. This is the most profitable and at the same time risky type of expert advisors. With each decline in the currency’s value, the adviser systematically doubles the size of the lot, until the price will go up and the deal will not be profitable. Martingale EA immediately closes profitable trades.
- multi-Currency automatic Forex advisors. This type of software allows you to trade automatically using several currency pairs at the same time, which is not available for most other expert advisors. Such advisers are most balanced in terms of diversification. The versatility of the program allows the EA to analyze the most profitable currency pairs at the moment and make profitable trades.
- a Combination of automatic Forex advisors. Such programmes combine the strategies listed above advisors. Combined advisors are developed individually, prescribing a particular algorithm of their action.
Automatic Forex advisors are designed to make the task easier for the trader. But we must not forget that these programs were created by people, which does not exclude the possibility of errors. In addition, the foreign exchange market is moving regularly, changing the position of a currency, changing the algorithms of price formation. Therefore, automatic Forex advisors require regular reconfiguration and updating of the program.