The Forex Trading Robot
By: Charley Warady
You can't knock success. Generally speaking, the people that knock success are those that don't have it, or haven't accomplished it as yet. There are those in the old school that will criticize any kind of a shortcut from any form of labor. If you're not sweating and laboring vigorously, you're not earning. And new technology? Even in this age of computers, you have to draw the line somewhere.
There are a large number of people out there that want to get rich quick. Everybody would like to get rich quick, but many are wary of the methods. The old adage of "If it looks too good to be true…it probably is", was coined on the back of many get-rich-quick schemes. There are an equal amount of people that want to make money while they sleep, inherit a vast fortune from a relative they never met, and win the lotto without having bought a ticket. We've all received emails to this effect on a daily basis (depending on the quality of your spam filter).
Advertising for Forex trading robots on the web all claim success. If they claimed anything else, one would have to suspect their business model. They all claim great percentages, fool-proof programming, with the ability to make money in any Forex market without getting you involved at all. The question begs, of course, if they all claim to make money in Forex trading, why are there so many of them? You would think you'd only need one. Right?
Forex trading robots are not bad things, and in most cases, they are not a scam. Like any other tool used in Forex trading, Forex robots are usually as good as the person using it. None of them are fool-proof. None of them are "just turn it on, walk away, collect your profits" simple.
Many of the sites of Automated Forex Brokers with trading robots call it "tweaking". Tweaking is a great word because it sounds minimalist. The fact is, in order for the robot to work well, the Forex trader has to do the homework, the research, the sweating, in order for the tool to work properly for the trader's set goals. It's not a refrigerator. You can't just turn it on and walk away.
Many Forex trading robots are billed to be great for the beginner. It takes no knowledge and it makes it easy to enter the Forex market. This is not necessarily so. If you eliminate the control of an experienced trader (even one with a limited amount of practical experience), you are then taking a shot in the dark. This is where the entire Forex market gets the reputation of being a scam. The novice trader, with no experience, puts his money into an account and sets up a trading robot. It doesn't make the money he expected. As a matter of fact, it eats away at his margin because his profits are cut short and his stop-losses are not at proper levels and keep getting hit!
Can a Forex trading robot make more money than a disciplined technical trader? Probably not. But you have to admit…robots are always fun to watch.