Automatic trading in financial markets has long passed from the category of fantasies to the plane of the reality of trading. Trading robots are used not only by private traders, but also by large financial institutions such as banks and investment funds.
Many banks trust their robots large capitals, for example, the Swiss UBS is one of such "financial monsters". It is not surprising that private traders have also actively taken up the automation of trading processes.
Automatic trading of binary options is the process of concluding deals according to a particular strategy without the participation of the owner of the trading account. How justified is this trading method?
It is known that automated trading has the following advantages:
- there is no influence of emotions on trading;
- the routine process goes to robots;
- automatic systems do not make psychological and mechanical mistakes;
- saving the trader's time.
The situation with automated trading systems
There are still few options for automatic trading on the binary options market, but the first worthy examples are already appearing. Traders who want to make money without making deals on their own will also have to spend time and effort to find a worthy option among robots.
Many traders have already burned themselves on some systems, for example, UBot. Not all robots skillfully fulfill their duties, however, like indicators and strategies for manual trading, so it is better not to use the first option that comes across.
Of course, over time, the number of "automatic machines" on the market will increase, but I hasten to warn you, dear reader, that a novelty is not always a good choice. Strategies that have proven themselves in the best way over a long period of time are valued much higher.
Automatic trading with 24BOT
Nevertheless, it is already quite possible to find a quality service with automatic trading in the binary options market. The most efficient "robot" currently on the market, in my opinion, is 24BOT.
http://24bot.info - the official website of the 24BOT service.
It would be more correct to call 24BOT not a trading robot, but a service for automatically copying transactions to client accounts. The source of signals is the best traders of the licensed international broker OptiTrade24.
How to start working with the service:
- the first step is the registration process for 24BOT service website, at the same time, a new trading account is opened with the broker OptiTrade24 (only deposits with OptiTrade24 will be suitable for working with 24BOT, moreover, those registered through the service website);
- then the standard procedure for replenishing a trading account (the minimum deposit at OptiTrade24 is $ 250);
- by logging into our personal account on the website of the automated trading service, we can configure the operation of the system.
24BOT are the official partner of OptiTrade24, which can be verified by contacting the manager of the brokerage company. The client's trading account is registered with OptiTrade24, and the automated trading service does not have access to traders' funds. 24BOT only selects the best specialists (whose transactions are copied) and automatically repeats the actions of "donors" on the deposits of its clients.
After setting up the service, just click on one button and transactions will be copied to your account. We ourselves set the size of the options value, as well as the maximum number of positions that can be opened at the same time.
Results of work with 24BOT they turn out to be very decent (you can find them in the service review - link above), at least after 3 weeks of trading I am satisfied (more than 200 transactions were made, so we can already talk about statistics). Perhaps you shouldn't rely entirely on automated trading alone, but this is a good option both for diversifying risks and for those who are still learning to trade themselves, but already want to make a profit.
Working conditions with an automatic copying system:
- a trading account with OptiTrade24, opened through the 24BOT service;
- copying transactions for the first 14 days is free (then $ 99 per month).
Perhaps, of all the options for automated trading in the binary options market, 24BOT is the best. In this case, signals are generated not by robots, but by experienced traders, all of whose actions are copied to subscribers' accounts.
Among the free advisors, Gepard 3.2.1 is the best. But, if you are serious about this business, it is better to trade with a paid advisor, which is safer and more profitable. For a paid advisor, the minimum deposit is $ 50.
!!!ATTENTION!!!
10 $ is 1000.00 cents --- $ 100 is 10000.00 cents!
We enter these settings depending on the amount of your deposit !!! At this stage, be extremely careful otherwise incorrect settings can easily drain your deposit. These settings are for a cent account. See below how to enter numbers instead of 0.01:
table
| 10$ --- 0.03 | 110$ --- 0.36 | 210$ --- 0.7 | 310$ --- 1.03 | 410$ --- 1.36 | 550$ --- 1.83 |
| 20$ --- 0.06 | 120$ --- 0.4 | 220$ --- 0.73 | 320$ --- 1.06 | 420$ --- 1.4 | 600$ --- 2 |
| 30$ --- 0.1 | 130$ --- 0.43 | 230$ --- 0.76 | 330$ --- 1.1 | 430$ --- 1.43 | 650$ --- 2.16 |
| 40$ --- 0.13 | 140$ --- 0.46 | 240$ --- 0.8 | 340$ --- 1.13 | 440$ --- 1.46 | 700$ --- 2.33 |
| 50$ --- 0.16 | 150$ --- 0.5 | 250$ --- 0.83 | 350$ --- 1.16 | 450$ --- 1.5 | 750$ --- 2.5 |
| 60$ --- 0.2 | 160$ --- 0.53 | 260$ --- 0.86 | 360$ --- 1.2 | 460$ --- 1.53 | 800$ --- 2.66 |
| 70$ --- 0.23 | 170$ --- 0.56 | 270$ --- 0.9 | 370$ --- 1.23 | 470$ --- 1.56 | 850$ --- 2.83 |
| 80$ --- 0.26 | 180$ --- 0.6 | 280$ --- 0.93 | 380$ --- 1.26 | 480$ --- 1.6 | 900$ --- 3 |
| 90$ --- 0.3 | 190$ --- 0.63 | 290$ --- 0.96 | 390$ --- 1.3 | 490$ --- 1.63 | 950$ --- 3.16 |
| 100$ --- 0.33 | 200$ --- 0.66 | 300$ --- 1 | 400$ --- 1.33 | 500$ --- 1.66 | 1000$ --- 3.33 |
The more "Level", the better! When the level drops to 20%, then the deposit is drained. This is very rare. If you do everything correctly, do not put a larger lot than the one indicated in the table, then this may never happen.
When you see that the level has dropped below 100%, then it is better to put some money into the account. It is good to always keep such a bag in stock so that at any time you can throw money and thereby raise the% Level.
Credit bonuses
When replenishing your trading account in your Personal Area, you have chosen the% of the F4u-bonus from 5 to 50%. Make sure that you constantly work out your credit bonus!
When you see that your credit bonus has worked out, you can transfer a small part of your deposit to your bank card, or to your other account, and immediately back. You have withdrawn the money, and you will immediately replenish your account. In this case, you choose from 5 to 50% of the bonus. Better to choose 5%. More information about the bonus program can be found here.
Lot changes
From time to time (at least 2 times a week) it is necessary to change the lot, based on the amount in "funds" in the trading terminal. For example, you started trading with $ 50. According to the table, for such a deposit, you need to set a lot - 0.16. For example, after three days in the "funds" there is already $ 60, then you need to change the lot to 0.2 in the settings. Or vice versa, the "funds" decreased to $ 40, then set the lot 0.13
Just remember that you have a cent account, everything is counted in cents, so $ 40 will look like 4000 cents.
Often newbies (I am no exception) are worried about why the drawdown (minus) grows when trading. It often happens that the first weeks of the advisor's work, profit and minus seem to constantly catch up with each other. And it seems that the advisor is "marking time" in place. But sooner or later, the profit grows, and the minus decreases.
To see how the advisor trades, click on the link in the lower left corner of the terminal. In the same section, look at the Level, this is the main indicator of the state of the account, the higher it is, the better. If the level is less than 100%, the EA does not trade. And the result of the Expert Advisor's work can be found in the Account History section.
The main mistake of beginners in automatic trading is that some believe that if you do not turn on the terminal or turn off the advisor, then there will be no trading. This is a huge misconception. All already opened orders are fixed by the broker, they work and only a closed order is considered a completed transaction. Therefore, we must remember that your advisor must work 5 days a week, from Monday to Friday inclusive. More precisely, trading starts on Monday at 02:00 and ends on Saturday at 01:00 Moscow time.
If you are going to withdraw income, then you should not increase the lot for the advisor before that.
Leave the advisor with a reserve of money for trading when withdrawing income. That is, do not be greedy. There are very strong jumps in the forex market, that is, some currency can very quickly rise in price and then fall sharply
ALL DONE! The account is opened, the depot and the Adviser is set at the expense, smiling, means WAITING for an advantageous position for the delivery of operations. AFTER OPENING OPERATIONS WILL WAIT TO CLOSE THEM, TO SELL AND TRY YOU A PROFIT. WAIT without fatigue, no sleep, no rest, no mess, no emotions and no excitement. And you get pleasure every day, looking at the growing balance of your account!
REMEMBER THAT THE ADVISOR TRADES ONLY WHEN THE COMPUTER IS TURNED ON AND THE TRADING TERMINAL IS STARTED!
A huge number of people are trying to trade Forex and Binary Options. Over time, they are faced with the fact that it is impossible to just trade, there must be a certain list of rules that must be followed. In other words, there should be a trading strategy that will tell you: at what moment to open a trade, where to set profit and loss cap levels, how much money to invest in a trade, and so on. Finding a profitable strategy is a long and painstaking process. Each strategy needs to be studied, then, using the historical charts of currency pairs, it is necessary to trace the trade using this strategy for a period of six months or more. If at this stage the strategy shows a positive trade, the trader should trade it on the real market for at least a few months. And after that we can clearly say whether it was a profitable strategy or a losing one. Thus, only 4-6 strategies can be qualitatively tested per year, and it should be remembered that out of 100 strategies it is good if 5 turn out to be profitable.
Today there are many trading robots that promise great profits. But it is rather difficult to find an effective Expert Advisor that provides stable profitability as a result of automated Forex trading.
When making a decision, it is desirable to be able to rank the various options based on certain criteria. There are many indicators and various criteria for finding a suitable advisor. But first of all, it is recommended to analyze the statistical indicators that are important when choosing an expert. When focusing on statistics, first of all, you need to take into account not only the results of transactions, but also the accepted risk. A simple choice of an advisor without understanding its indicators and parameters usually leads to undesirable consequences.
Account monitoring using the MyfxBook service
Every experienced trader in his practice has unequivocally encountered the MyfxBook service (https://www.myfxbook.com) or any other monitoring service. Its purpose is to record and analyze trading activities, that is, statistics. Doing such work manually is a routine and very tedious task. While the MyfxBook service, having received reports from the trading terminal, will automatically carry out the entire analysis of the trade.
Most traders use trading experts in their work. Truly profitable Expert Advisors have many advantages. But it is quite difficult for a novice trader to understand the variety of trading Expert Advisors and choose the most suitable one. What criteria should you rely on when choosing an advisor? Let's consider the basic rules for choosing a profitable trading advisor.
Many traders are wary of trading advisors based on the martingale strategy. Why is this happening? Is it possible to make constant profits using these advisors?
The Martingale strategy is based on the theory of probability and is based on the assumption that the price in the vast majority of cases is able to return to average values. Based on this idea, the strategy of such Expert Advisors includes opening additional orders when the set level of unclosed loss is reached, increasing the lot in case of loss, forming pyramids from orders, etc. But in reality, the market is far from always able to return to the previous prices, and, at the same time, trading on the "casino" strategies, you can easily lose all or the main part of the deposit. Thus, Martingale Expert Advisors are the most risky.
Each user who has tested Expert Advisors in MT4 can note that the quality of modeling is always below 90%. Consider why this is happening with a specific step-by-step example.
This is due to the fact that the default terminal settings are set to minute bars, not tick data. Therefore, when the EA scalps or applies a small trailing stop, the test result can change significantly due to the difference in the quality of the simulation.
Over the past few years, forex robots have become increasingly popular. Unfortunately, robots cannot be used on all platforms. The platform "Metatrader 4" allows you to use trading experts, thanks to the built-in programming language, as well as the ability to automate trading. It must be said that the growing popularity of Expert Advisors is to some extent related to the spread of the Metatrader platform.
How to set up a VPS server for forex trading
- What is the purpose of a VPS server?
- Where is the best place to rent this server?
- How to connect correctly?
- How to properly configure terminal autorun?
- How to quickly troubleshoot problems?
We have put the answers to all these questions below.
A trading advisor (robot, expert) is a specific trading algorithm executed in the form of an mql code. Most novice traders consider advisors to be a mysterious magic machine that has its own intelligence. Of course, there is no magic here and this is just an automated strategy.
Its profitability directly depends on the profitability of the strategy on which it is based. Thus, if the strategy is unprofitable, then the EA's trade will also bring losses. On many forums, one of the most frequent questions is the question of how to install an advisor in metatrader 4. I must say that installing an advisor is not at all difficult and does not require any special knowledge.
Binary options are an increasingly popular form of trading in the financial market. At the same time, the nature of the trader's work is such that the idea of automating the opening of trading positions literally lies on the surface. In fact, for this it is necessary to use an algorithm that, by assessing the market situation, allows making appropriate decisions. In practice, this principle is implemented in the form of a special program - an advisor.
Automatic trading: balance of advantages and disadvantages
Since both the "manual" approach and the Expert Advisors are used in real trading in binary options, it means that both methods have strengths and weaknesses. The benefits of automatic systems are clear.
- The program does not make random mistakes, does not get tired, can use all the favorable opportunities that the market provides. When using a remote VPS server, there is even no need to leave the computer on all the time.
- The rate of market analysis when trading with Expert Advisors is much higher than when working manually. The trader is not able to compare the graphical analysis data and the indicators of 3-5 indicators so quickly. This is not a problem with options with a significant expiration period, but with their short-term counterparts, this situation can be disastrous.
- The Expert Advisor does not experience psychological stress. Practice shows that most newbie traders, even with an effective trading system, are unable to cope with stress. They open unreasonable positions "on a whim", do not limit losses and lose their deposit. The program, on the other hand, does not react to "information noise" in any way.
- It is much easier to work on the creation of a trading system implemented in the form of an Expert Advisor than on a “manual” trading strategy. There is always an opportunity to very quickly test the program "on history" and get an idea of its effectiveness and weak points. Performing such a test manually is an extremely time-consuming and laborious task.
The main problems when using Expert Advisors is a direct continuation of the advantages of these programs.
- Mechanical trading systems lack intelligence do not feel the market. If the situation changes dramatically, the EA will not be able to adjust the trading principles and, most likely, will start to bring losses.
- When writing a program, there is a high probability that the use of tests will result in an Expert Advisor that was effective in the past, but does not correspond to the current market. In other words, the algorithm of work, built on an ordinary "fit", will not be able to generate profit.
What advisors are used when working with binary options
All mechanical trading systems are divided into two types:
- copying transactions;
- generating independent trading signals.
In the first case, the work of a single trader or the average behavior of a number of successful traders can be used as a sample. In the second, technical analysis is most often used.
The disadvantage of the first type of advisors is that the trader is completely dependent on the result of the work of other people. At the same time, duplicating their transactions, he does not have the opportunity to duplicate their principles of risk and capital management. This is sometimes disastrous.
Peculiarities
One of the main problems of automatic trading when working with binary options is that most of these programs are adapted for the MT4 terminal. At the same time, binary options trading is carried out through other applications. Most likely, over time, this problem will be universally resolved. In the meantime, advisors can be used in a semi-automatic mode - install them on a demo account opened using the MT4 platform and transfer transactions manually.
The positive side of binary options when using an advisor is that the program should generate a decision only regarding the opening of a trade. Traditional trading also requires the use of algorithms for tracking and closing a deal.
This complicates the trading program and increases the likelihood that it will begin to lose efficiency. Also, in the case of binary options, when testing and configuring a program, one has to deal with a "single-task" program, which makes the work easier.
How to optimize an automated trading system
A good Forex trader advisor allows you to use it as efficiently as possible immediately after writing. The fact is that at this moment the mechanical trading system most adequately takes into account the real state of the market. After a while, the trends change. The general principle of the EA's operation remains correct (this is due to the basic principle of technical analysis, which is that the history of the market repeats itself), but specific parameters require adjustments.
An alternative theory says that there is no need to optimize EAs. This assumption is motivated by the fact that they are written on the basis of a large amount of data, and the trends are relatively short-term. Thus, the settings will always be "lagging", and it is much more reasonable to orient the Expert Advisor for a period of several years. Each trader must determine the feasibility of optimization in relation to each specific Expert Advisor.
The standard functions of the popular MT4 platform allow you to optimize several parameters. As the main one, you can choose:
- "Balance" - the size of the deposit;
- "Expected Payoff" - expected profit for each trade;
- "Profit Factor" - the ratio of the results of profitable trades to the total amount of unprofitable ones;
- The total number of profitable and unprofitable trades.
Obviously, in relation to binary options, it is advisable to optimize the last point.
Acceptable way to optimize
A period of about 160 "candles" is used. In this case, 120 candles are used as the optimization period, and 40 candles as the test period. Moreover, the test is carried out on a period of time as close as possible to the present day.
Progressive way
The most successful way is similar to the previous one. The difference is that there are not one but two test periods. The second test period is chronologically prior to the data set on which the optimization was carried out.
The EA must show a positive result during both tests. This ensures the stability of the settings.
Output
Mechanical trading systems are an effective trading tool. But a trader must necessarily understand the principle of his program, periodically analyze the market on his own and change the EA settings accordingly. Only under such conditions will trade in advisors become successful.
In this regard, buying an Expert Advisor is not the best decision. It is much more efficient to develop and customize it yourself.
Is an effective and convenient way to make good profits in the foreign exchange market using trading robots (advisors). This trading method is great for both novice and experienced traders. It can also be used by those who do not have time to engage in trading on the foreign exchange market themselves.
What is a trading robot?
Trading robot (advisor, expert) Is a special program that can partially or completely replace a trader when trading on the market. It is a program code written in the MQL programming language, which is installed in the trading terminal.
During its work, a trading expert monitors the situation on the market, sets trade orders, opens and closes deals in accordance with the rules and commands that are written in its program code.
Advantages of trading robots
- + Constant round-the-clock trade.
Unlike a human, an advisor never gets tired and can trade around the clock.
- + Lack of emotion, fear, greed.
- + Fast response.
The Expert Advisor does not waste time thinking. It instantly reacts to incoming trading signals by opening a position or placing pending orders.
- + High speed of data processing.
It is determined by the capacity of the computer or server on which the Expert Advisor is installed. You can put the Expert Advisor on many trading instruments at once, and it will track them at the same time.
- + Exact adherence to the trading system specified in the EA code.
- + Ability to upgrade and edit the advisor.
Disadvantages of trading robots
- - Robots trade only according to the algorithm embedded in them.
Therefore, they will not be able to change their trading tactics in the event of non-standard market situations, sharp unexpected price fluctuations (for example, due to the release of important economic or political news, disasters or terrorist attacks). Read more about the impact of news on the movement of exchange rates.
- - The need to periodically test the advisor and check its profitability.
The effectiveness of the advisor may change due to changes in the situation on the foreign exchange market. A trading expert can bring good profits over a long period of time, and then start trading in the red. This is cured by the fact that advisors periodically test, tracking their profitability, and change some of their parameters, adjusting to the current market situation.
- - A trade advisor during his work needs to ensure a constant connection with the Internet.
If the connection to the Internet is broken, the advisor will no longer be able to trade, open orders or close already open positions. This problem is solved using a VPS server. You buy yourself a place on a remote computer (server), which is constantly connected to an uninterrupted and high-speed Internet and whose performance is constantly monitored by specialists. Next, upload the MetaTrader 4 terminal, trading advisors to it and start the trading process. After that, trading will be carried out around the clock in automatic mode without your participation.
What do you need for automated trading?
2. Use a cent account for trading robots. This will reduce risks during possible drawdowns of the deposit.
3. Download a trading terminal from your broker and install it on your computer.
4. Install trading robots in the terminal.
5. Test them on historical data and for some time on a demo account.
6. If you are satisfied with the test result, then launch the Expert Advisors on your trading account.
7. Periodically monitor the work of advisors and get your profit.
That's all it takes to start automated forex trading.
