This article will give you a clear understanding of how
forex automatic trading software works, and why it works. This way, you can make an educated decision whether or not you want to use it yourself. First, a little background:
Forex, aka the foreign exchange is a gigantic global market. It takes place in myriads of international markets, each with their own open & closing hours. For this reason, all these markets' hours overlap throughout the course of a day. This, in turn, makes forex trading, or keeping tabs of the international currency market a virtually impossible task unless you outsource.
In the past, that is exactly what forex traders have been doing - outsourcing their trades to a full service brokerage. This, of course, costs money, not to mention the exhaustive task it can be to find a forex broker/brokerage that is honest, ethical and effective enough to get you a return on your money.
But that is the past. It is now 2010, and the name of the game is
automated forex trading software.
If you're one of thousands of traders who has been burned by the forex market in the past - or perhaps you're just not making a lot of money on it, this article is for you, as it will explain why close to 50% of all forex traders are now using automated software to see significant returns on their investments in this market.
As mentioned earlier, the forex market runs 24/7, but humans don't. This is where
forex automatic trading software comes in. Here's how it works: It constantly scans/analyzes the market - 24 hours a day, using real-time forex market data, as it scours for reliable, high probability trading opportunities. Once it finds them, it invests until the instant the trade turns unprofitable. At that point, it goes back to scouring the market until it finds its next profitable trade, at which point it rinses and repeats. Very simple, extremely powerful.
There are no commissions to pay out to brokerages, and even if you are a complete beginner, you can start trading in the forex market using this software. As a matter of fact, just watching the program work its magic can give even experienced traders new insights.
Another great thing about this type of software is that the risk is extremely low, as it allows you to run in a "practice account", which enables you to see the program in action, with virtual currency, not risking a penny of your own money. Equally important is that the program does not act on emotional impulses, thereby removing a very high risk factor.
Of course, if you want to monitor it and be part of trading decisions, you can do that. However, unless you are an expert trader with decades of experience in forex trading, the software generates much higher profits when left alone to do its job.
