Will Forex Robots Help You Get Rich Quick?
The latest craze in forex trading are forex robots. It seems that forex traders are on the hunt for ways to get rich quick and to make it as easy as possible. This pretty much means having someone or something do the trading for them.
This type of mentality has opened the doors to scammers who have flooded the market with a number of different commercial Expert Advisors (EAs), all of which promise to provide the trader with astronomical returns in relatively little time.
Is It For Real?
There is an old adage that says, if it sounds too good to be true then it probably is.
Just take a moment and think about this logically. If forex robots really performed as their marketers say they do, why are they selling them? It would make far more sense, and money, to sit back and rake in the big bucks thanks to the EA. Sell them… why?
Wait, this isn’t to say that I am against trading software that will implement trading rules automatically for you. I am against forex robots that are for sale and promise to make you a millionaire overnight.
Surely, there are a few reliable forex robots out there that actually generate consistent returns. The difference between those and the ones that are for sale… is that the inventors of these privately held EA’s are making good profits and they aren’t going to tell you about their EA’s. They are sitting back and reaping the benefits of the gold mine they have created.
Diamond in the Rough
Okay, I may even go as far as believing that there are few EA developers that have created a reliable forex robot and they are selling them. They could be doing it for fame, or the desire to share their gold mine with others, but they are probably not motivated by profit. It doesn’t matter what their reason is, they have created commercial EA’s that generate reliable returns.
Our job, as retail forex traders is to find the gems amongst the garbage when it comes to commercial EA’s. Taking into account all of the garbage forex robots out there, this undertaking is the equivalent of finding a needle in a haystack.
Two Ways to Find a Reliable Commercial EA
The only real way to find a reliable commercial forex robot is to test it on a real money trading account. Don’t make the mistake in testing it on a demo account. Demo accounts generally provide instant execution.
In the real world there is some slippage when orders are executed, especially during times of volatility. In other words, if you really want to know if the EA is for real, you need to test it under real world conditions. This means using a live trading account.
It’s true that using a real money trading account could be expensive. To help minimize that cost, here are two approaches you can take:
1. Test your EA on a micro-lot trading account. This way the only monies at risk are pennies instead of dollars.
2. See what other people have to say about the different forex robots they have tested on their live accounts. This way, you don’t risk any of your own money. Learn from others instead.
Don’t give up. There are a few real forex robots on the market that are legitimate. Keep in mind that there are also a great many scams being sold out there as well. Be careful. Test any forex robot before jumping in.
Save your money and view my own live tests of a few commercial forex robots on real money trading accounts. Visit Rudolf Boquiren’s website on Forex Trading System development.
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