Sunday 7 March 2010

Can I Really Make Money From Trading on the Forex Market Using an Automated Software System?

2008, saw the explosion of many new Forex automated software packages come to the market, in particular for the private trader to use. For the uninitiated, these software programs are known as "expert advisers" or EA's and have also been dubbed Forex "Robots". Tap in any of these keywords into your favourite search engine to see just how many are available. And don't overlook the "testing" sites either; here you'll see even more variations and many of these sites have affiliations with the providers they are showcasing.

The Foreign Currency Exchange (Forex) is a world market dominated by large corporations, governments and other multi-national organisations where more than $3.2 trillion US changes hands each and every day. Wow!..... $100,000 a year income from private trading wouldn't go a miss here, for us mere mortals would it!

Over the past 8 or 9 years, various changes in this market paved the way for private traders to be able to become part of this "manly trading arena"; prior to these changes, very little private trading actually took place as the starting block came in around the $100,000 mark per order; and you don't usually buy or sell just 1 order in this market, either.

This is a pertinent point to note when considering the purchase of any particular expert adviser; I have seen several websites promote the fact that the trader behind the new software being sold off the page "has been trading the Forex market for more than 20 years"........ really? Well probably not on their own account!

This brings me nicely on to the fact that I must state in my (humble) opinion, many of the software programs being heavily sold online are dubious to say the least. Between the summer of 2008 and 2009, I went on a small shopping spree and purchased many as the whole subject fascinated me to the point where I eventually gave up my financial business of 25 years. (which should tell you something regards that question in the heading.... get it right and you can make some serious money! More later)

So that's the negative part out of the way.

I'm proud to say that of the genuine programs that I came across, most gave very reasonable results over the first 3 or so months of using them - and I did go straight in with real money (not too much) rather than test on demo accounts, etc, as I'm impatient myself by nature.

Notice I mentioned those that performed well all seemed to do so over the first 3 or so months? Well, that's because I later found out about how the Forex Market evolves over time.

It actually moves in ebbs and flows and as it does, some of the finer points of the market characteristics can change...... So what does all that mean?

If the software (expert adviser) has been programmed around a particular trading strategy that relies on multiple indicators coming together to trigger a trading opportunity, it will soon become "out-dated" as the converging signals from the indicators will become "out-of-sink" with the market movements, eventually. And many of the sellers refuse to tell, of the actual trading strategy (as if they all know themselves, anyway) so the buyer just has to take it on face value that the past "astounding" results are, in fact, a true likeness of what's likely to happen in the future.

Don't be put off by this; I only choose to mention it to keep you from being swept away by all the sales pitter-patter of the quick and immense wealth that's being peddled on the sales pages. Keep it real, that's all I'm suggesting.

Always ask what the trading strategy is. This information CAN be given away without it affecting any proprietary information. The testing sites I made reference to earlier will be good for giving you more forthright answers (perhaps) than the direct source. One particular favourite of mine is "4xproject". It's owned by two individuals, the trader's name escapes me but he lives and works in Switzerland; the programmer's name is Michael - whom I've had the pleasure of meeting - and he's based in The UK.

I have actually been trading On The Forex Market since the Autumn of 2005. It wasn't till late in 2007, I learned of automated software that actually traded for you. I felt then as I do now, that the whole concept is so exciting and can be so powerful too, when you get the right software that performs constantly. And yes, I want to give you my own views on a few that I have used and are using. You'll see that in Part 2.

Just so you can see I am a real, live human (and not some made-up name on a one-page website) you can see me and my family at http://www.philipnightingale.co.uk which is more a personal website which I intend to use as a "springboard" for various things I want to bring to people's attention; things that I myself have profited from and could genuinely help the welfare of others with the delivery of sound advice based on my own personal history.

I also have a blog dedicated to my bespoke automated trading system where you will find other good content - all genuine - and in future some free giveaways that if used as I suggest, will get you making money from The Forex Market quickly..... and it really is easy money when it comes. You can visit at http://www.forexphils.blogspot.com where your comment and feedback will always be welcome. Wishing you the greatest success whatever your quest.

Article Source: http://EzineArticles.com/?expert=Philip_Nightingale

Wednesday 17 February 2010

Best Forex Automated Systems - This One is Free and Made Millions in Profit!

When looking for the best automated Forex trading systems, a strong contender is the one enclosed and don't think because its free it doesn't work - it does and has for over 20 years...

There is no question Forex trading systems have a bad reputation and this is down to the numerous junk robots that are sold with track records that are simply back tests and not proven. The system we are going to look at here on the other hand has been used by savvy traders around the world for years and works.

The system we are going to look at is the 4 Week Rule and it was devised by one of the great traders Richard Donchian and since the late seventies it's been at the heart of some of the top traders systems - even trading legend Richard Dennis was a fan so you know your in good company.

The system is incredibly simple and you don't even need a computer to run it - it has one simple rule, so lets look at it.

Buy a new 4 week high and reverse the position when a new 4 week low is hit - keep buying the 4 week high and selling the 4 week low and always maintain a position in the market.

You can't get much more simple than that and but if you think about the logic it's soundly based.

1. it's a very simple breakout system and it's a fact that most major trends start from breaks to new market highs or lows.

2. By its very nature its long term and if you look at a Forex chart, you will see the big trends can last many months or longer.

3. This system as it is always in the market so is guaranteed to put you on the side of every big trend.

It's also got some other great advantages, it's quick to implement about 15 minutes a day max and gives you a set trading signal with no subjective judgement needed.

Despite the fact it works and will continue to work most traders won't bother with it and here are the reasons why.

1. They think its to simple despite the fact it works

2. They want to buy tops and bottoms exactly, despite the fact you can't do this

3. Its to long term and traders always like action and lack the discipline to hold long term trends

4. It's not complex - traders think this increases chances of success but of course the opposite is true - simple systems are more robust.

5. It's not based on fancy theories chaos, neural networks, artificial intelligence etc - these theories don't work in Forex but again traders love them.

6. There is no fancy packaging or a ridiculous name that insinuates taking on and beating the market.

Most traders pick junk robots with simulated track records and fall for the hype. This automated Forex trading system has no hype but plenty of profits and I know which system I would rather have!

The system works and will continue to work and if you are interested in long term profits take a look at it and it can increase your chances of forex trading success.

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Article Source: http://EzineArticles.com/?expert=Kelly_Price

Monday 11 January 2010

Forex Robot - How Efficient Are Forex Robots in Forex Trade?

The FOREX robot is an automated computer software that is basically marketed to traders who have little or no knowledge of complex forex trade market algorithms. The marketers claim that profits can be earned even when you are not in front of your PC; But are they really what they are marketed out to be? Well, the FOREX trading systems may have made profits at certain times; but there is just no guarantee that they will continue to do so. Beware of promised profits that are soaring, even if you have little knowledge. You still have to be involved in the trade, despite using the system. The market carries random factors that cannot be predicted even by machines.

There are a myriad of forex trading robots on the market, that claim to have undergone a series of extensive tests which have produced satisfactory results therefore they are marketed as absolutely effective in producing consistent profits. But which are the Top Forex Robots?

The answer is not that straight-forward. The most important factor to consider here should be the main difference between the manual versus automated trading systems.

The most attractive option therefore, for the amateur forex trader, is to trade with automated forex robots. However, when choosing the Top Forex Robots for your use, it is imperative to think about how to best maximise your trading profits.

The most prudent (but possibly not the most effective) way to ensure that you choose the Top Forex Robots is to actually buy these products, make sure you understand how to install them and optimise their settings for your chosen trading platform (for example Metatrader) and to do extensive back and forward testing on various settings for the various currency pairs.

This process appears to be simple. However, it is costly, extremely time consuming and possibly do not provide the desired level of comfort as the user is always inevitably drawn to (and biased towards) a specific product, principally as a result of the promises made and sales pitch of the creators.

Possibly the most effective way to assess which are the Top Forex Robots is to visit and subscribe to reputable websites where the Top Forex Robots are reviewed, extensively tested, and detailed comparisons between the various forex robots made and regular updates provided.

The benefits of this approach is a significant saving in costs, (someone else doing the research and comparisons on your behalf saving you lots of time and effort) and also you are always abreast of the latest developments in forex robots.

There are top 5 forex trading robots:

1. FAP Turbo
Fap Turbo took the industry by storm when it was released on 25 November 2008. The creators of Fap Turbo promised to deliver the most advanced Forex trading robot there has ever been on the market and so far they have not dissapointed the thousands of traders that were eagerly waiting for the launch. The reason why Fap Turbo is so popular is the fact that it offers a system that is more profitable and safer than the famous Forex Autopilot.That is exactly what the market wanted.

Instead of using backtesting reports to proof how profitable their system is (like everyone else does), the Fap Turbo creators have so much faith in their product that they publish real time statements of their own live accounts on the Fap Turbo homepage for everyone to see.

Another thing that is very unique about Fap Turbo is the long term commitment of the developers and owners of the system. Fap Turbo is definitely not a product that will just dissapear.. it is here for the long run and the creators are very committed to help every one of their users make money in the future

2. Forex Megadroid
Forex Megadroid was launched by Albert Perrie and John Grace on 31 March 2009 and the buzz around this product launch was almost as big as the Fap Turbo launch last year. According to the creators, Forex Megadroid uses a new technique called Reverse Correlated Price and Time Analysis which they guarantee that for every dollar you deposit into your Forex account will be at least quadrupled.

Another unique feature about Forex Megadroid is the built in broker protection feature. There is a widespread belief that most Metatrader brokers trade against their clients and that, coupled together with things like high spreads, offquote errors and slippage, it has become very extremely difficult for a trading robot to consistently make a profit. Forex Megadroid is the first robot ever to be released with a broker protection or anti-broker mechanism.

3. Forex Autopilot
Forex Autopilot was one of the first commercial Forex Trading Robots to come onto the scene and it was by far the most popular product on the market before the launch of Fap Turbo. This forex robot uses various different indicators to identify trends on the EUR/USD currency and the result is an extremely accurate system that has a success rate of more than 90%. One of the big problems with Forex Autopilot is the fact that trades can sometimes go into large drawdowns of up to 500 pips and more. This does not happen often, but it does happen.

4. Forex Funnel
Forex Funnel is another automated Forex trading system like Fap Turbo, but with one major difference - it uses a much more high risk/high reward approach to trading. Forex Funnel uses a varient of a famous gambling strategy called the Martingale principle in it's trading approach.

When used in Forex trading, the strategy effectively has a 100% success rate, meaning there are no lost trades, but there is also the risk of losing your whole account on one trade if you don't have enough capital to work with.

5. Pips Leader
The Pips Leader Forex robot is not as well known as the other products on this list.The Pips Leader robot uses a "basket trading" strategy, which can be extremely profitable and low risk if you understand the margin requirements and enforce strict money management rules. The core of the Pips Leader system relies a lot on hedging, so make sure that you select a broker that allows hedging before opening a live account.

Pips Leader can have up to 30 open trades at any given time and the key to success with this system is to understand the margin requirements.

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If you'd like to try an Automated Forex Robot that has been proven on video to double the deposit of my trading account in under 1 week, visit my site and see the Top 3 Forex Robots and learn how you can TRIPLE your Forex Account within a Weeks! Get the Latest Version of All Forex Trading Robots Via my Forex Robot Review sites. Updated Daily! Also See: Forex Megadroid Vs FAP Turbo Vs IVY Bot

Article Source: http://EzineArticles.com/?expert=Steve_Leigh_Martins