Does automated trading work? Is it profitable? (TOP brokers attached)

Automated Forex Trading Explained

Automated Forex trading grows fast and there is plenty of misleading information about Forex trading robots and EAs spread by marketing teams. While the technology exists for sophisticated automated trading solutions, all retail solutions remain simplistic and without advanced machine learning (ML) and artificial intelligence (AI) at the core. The majority of solutions available to the retail sector consists of uncomplicated technical analysis components, simple risk management rules defined by the user, and price alerts. The product is wrapped into a futuristic and user-friendly design to mask its lack of sophistication. Marketing teams spin an intriguing story that connects with retail traders seeking to earn from Forex trading on autopilot, preferably free of charge or for a small one-time purchase price.

The Difference Between Automated & Manual Trading

Manual trading relies 100% on the trader who must carry out all aspects by being physically present in front of their trading desk. It requires long hours and repetitive tasks in a high-stress environment, where most allow emotions to direct trading decisions. Automated trading can bridge the challenges. Alert algorithms carry out the analysis process, and the most sophisticated ones deploy cutting-edge AI components that can read news and adjust trading strategies. Traders may receive price alerts for trade confirmation or under full automation while they are away from their trading desks.

While most retail traders have no access to sophisticated ML/AI-powered automated trading solutions, numerous competitive options allow traders to gain an edge. I recommend ignoring a set-and-forget EA or trading robot, which usually fails over the long-term. Those who favor a 100% hands-free approach will find a better choice with social trading platforms. Retail traders seeking an edge should look for EAs that will work alongside them and help identify trading signals based on their strategy. It will take away repetitive analyses and emotion-based trading decisions while keeping the final decision in human hands. Another smart choice is an EA that monitors existing trades and adjusts take-profit and stop-loss levels after a manual trade placement. Some options will allow retail traders to reduce their time to 30 minutes in front of trading screens spread out over three ten-minute sessions.

Does Automated Trading Work？ Is it Profitable？

Automated trading works, as evident by its use among financial institutions and expanding investment into sophisticated solutions. For anyone trading for a living, professional or private, automated trading, partial or full, remains a requirement in todays markets. Retail traders who seek to upgrade their trading operations should never listen to marketing teams or reviews but test any solution in a demo account. MT4 offers back-testing capabilities, allowing traders to gather sufficient data during the limited free trial version. Coding your strategy remains the most beneficial option, but many are unable to do so. The MT4 marketplace has almost 20,000 EAs, and retail traders are likely to find what they need. I recommend taking your time to research and test before committing to a purchase. The bottom line is that automated trading works and can be profitable.

Below is TOP 5 Automated Forex Brokers selected by experienced traders:

eToro: Best broker for social traders and crypto traders : 75% of retail CFD accounts lose money

AVATRADE: Autotrading options including Mirror Trade, Zulutrade + more

ZuluTrade: Social trading system that works with dozens of brokers

FXCM: No dealing desk execution + wide range of trading apps

Trade360: Crowd trading that lets you follow trading trends