Forex Robot Trading
Forex robot trading involves a computer buying and selling currencies based on very specific entry and exit criteria. They can be as simple as a simple moving average crossover, to more complex models involving 10+ indicators. The term Expert Advisor, or ea for short is the code used to control these trades. The most popular platform is the Metatrader 4 platform. Even though Metatrader 5 was released some time ago, many people haven’t migrated to the newer versions due to complexities with code migration. Most brokers however still support Metatrader 4, and will do for some time yet.
Unlike humans who can become emotionally involved and inadvertently break well laid plans, computers always follow the set rules. They can trader 24 hours a day, and never become tired.
The beauty of robot trading is that you can also backtest your strategy before trading live. You can backtest your robot over months or even years to if it can stand the test of time. However, backtest accuracy is limited by the amount of data you have. Most brokers provide 1 minute historical data only. Tick by tick data in Metatrader 4 is simulated. If you are planning on using a scalping strategy, I recommend forward testing instead with a demo account.
To write up your own robot trader, you will need some programming knowledge. There are tools available on the web that claim they can generate code for you with a few clicks of a button. However, writing the initial trading rules is only 40% of the work. When you need to trade live, debugging the code will take more time. There are checks and error codes that need to be accounted for that can be specific to your broker. Some traders employ programmers to write the expert advisor for them. If you choose to use this method, remember to account for the debugging time.
The expert advisors provided on this website is designed to illustrate the potential for each strategy. They have not been written with any error checks, and should not be used on live accounts without modification.
We hope you enjoy the free forex eas provided.