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Disadvantages of forex robots.


abdulla1

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Yes backtesting not guarantee will success later in real account, but this is also useful to test system for certain period of time, because it will also making confidence in real account if during backtesting giving good result, and forex trading indeed as risky business and loss still as part in trading we can't deny it

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Just from the name, backtesting so it is just testing if you make profit by use that robot or not is another matter since this is just backtesting. Putting that aside actually forex robot is a good thing to use at least once or twice. I know it is quite reliable and fast but still it is one of the thing which you normally cannot control, you need a better risk management for it.

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Just from the name, backtesting so it is just testing if you make profit by use that robot or not is another matter since this is just backtesting. Putting that aside actually forex robot is a good thing to use at least once or twice. I know it is quite reliable and fast but still it is one of the thing which you normally cannot control, you need a better risk management for it.

 

And the backtesting itself is where you can put your robot to the test from the historical data of the pairs and see the performance that you will get if you let them work without your supervisions.

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While EA has its own advantage, it also has some disadvantages, first an EA needs to run on a decent computer at home with reliable internet, or on Virtual Private Server in order for it to behave properly and take all the trades it was designed to take. The good news is that most internet connections are up 99% of the time,but still it will cost you and maybe it won't behave like what you expect.

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While EA has its own advantage, it also has some disadvantages, first an EA needs to run on a decent computer at home with reliable internet, or on Virtual Private Server in order for it to behave properly and take all the trades it was designed to take. The good news is that most internet connections are up 99% of the time,but still it will cost you and maybe it won't behave like what you expect.

VPS would be much better if you want to execute your EA in a decent ping, make sure to choose the closest one with your broker trading server.

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VPS would be much better if you want to execute your EA in a decent ping, make sure to choose the closest one with your broker trading server.

If running robot on broker that has bad server might will not making robot work according seting, I think robot also possible to faced with requote order which might because server broker often delay if we want ask at certain price but occured slipage of price and causing requote, sometime server in demo and real is different

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The big disadvantage of forex robot is BUG!, Expert advisors or robot for forex, CFDs, and Stock are somewhat different as it has the power to make decisions that affect your bank balance! If your EA has a bug then it could make the wrong decision resulting in a loss of money. If the bug is bad then maybe you’ll lose a lot of money and you may even lose your own account.

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The bug will always exist no matter what, it will exist in the way we don't even know, not to mention that robot's bug usually hidden especially if the coder decides to obfuscate the code makes it even harder to make some repairment to our robot. Without any doubt, the bug could lead to more losses and to be honest, this is the biggest maintenance of foreign exchange robot.

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That is why it is one of the biggest weakness of forex robot, and as you know this kind of weakness could change your account from fully functional account to the broken account where you cannot even make much money from it. There are a lot of things happened like this before and i don't have to give much more explanation anymore about this.

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I think if any trader they like and prefer trade with robot hence they need to backtestimg first on demo account, or they can forward test in real account with choose cent account to trying robot, because server in real sometime different if compared with demo account,if likely in real often requote hence robot also can't work well

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Using Forex is not advisable especially to those newbies. Because it might lead you to losing your funds. So i suggest that start on learning all important details about forex and do manual trading, at least you can monitor your trades and see if you will win or loose.

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Using forex... Well you mean robot right? Well using forex robot in demo account as the part of learning for newcomers is fine, it is another story if the robot is for earning and newcomers is the one who try to make money with it in real account. For newbie this one is not really good and one of the disadvantage which many traders should reconsider.

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Using Forex is not advisable especially to those newbies. Because it might lead you to losing your funds. So i suggest that start on learning all important details about forex and do manual trading, at least you can monitor your trades and see if you will win or loose.

 

Of course, we need to learn first about forex trading. It's ok if we want to use forex robots for trading. The most important is we can set it. But for now, i prefer to trade manually

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Of course, we need to learn first about forex trading. It's ok if we want to use forex robots for trading. The most important is we can set it. But for now, i prefer to trade manually

 

Well, some trader prefer to use the robot semi-manual. They have to watch how the robot performs and they take some action to minimize the risks from the robot itself.

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Semi manual robot? This is the first time i heard there is semi manual robot, care to explain? Well to me forex robot biggest disadvantage is bug, and that is always exist no matter how good you are to create a forex robot, after that there is something like flexibility which some people said robot's lack, but putting that all disadvantage forex robot is actually worthy since it has if not equal, more advantages.

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Semi manual robot? This is the first time i heard there is semi manual robot, care to explain? Well to me forex robot biggest disadvantage is bug, and that is always exist no matter how good you are to create a forex robot, after that there is something like flexibility which some people said robot's lack, but putting that all disadvantage forex robot is actually worthy since it has if not equal, more advantages.

 

Semi manual robot means you execute the robot, but you also have to monitor the progress and manage your funds and risks.

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Forex Robots are not always reliable, that would be the biggest disadvantage of Forex Robots. 

So do human, we are not really reliable compared to the other traders. Even soros still able to lose some money, so this makes soros not always reliable, right? Reliable doesn't mean that people / EA is not profitable. Just look at profitable EA and not Scammy EA. EA actually less flexible than human and just like few posters here said that bug is the biggest enemy of EA.

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Semi manual robot means you execute the robot, but you also have to monitor the progress and manage your funds and risks.

You mean like a robot where that robot just send signal over you? Well that is fine too, but still there is disadvantage once robot will always be robot, there is flaw because it is human creation, also just like what myregister said above, we also not reliable with ourselves, we may have control but it is not like what we know since risk is always present.

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One noticeable difference that i see in forex robot is that the forex robots don't have any good analysis when it comes to fundamental indicator such as news. I don't know if there is new innovation but so far most of the fx robot based on technical analysis and i never see one with fundamental indicators, and mostly usually crumbling when news released.

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Usually robot work on technical based and not for news fundamental, but might also depending with strategy that used in robot, I mean also will depending with creator, there are robot that can work with strict money management and use hedging strategy and although on news time still can work well to maintain account, but will better also use manual monitoring

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I think news is not the part of forex robot, but i have a thought to create it one. I mean that robot will connected to 3-4 or even more economic calendar site and when the news announced the robot will works based on the rules of fundamental analysis. But yes this is just a thought, surely the forex robot is actually implementation of human's technique in more automatic way.

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I think news is not the part of forex robot, but i have a thought to create it one. I mean that robot will connected to 3-4 or even more economic calendar site and when the news announced the robot will works based on the rules of fundamental analysis. But yes this is just a thought, surely the forex robot is actually implementation of human's technique in more automatic way.

 

Well, that robot needs to have some database of the previous news that happened, 

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