Using an auto trading platform, forex trader tells the platform what trading signals to search for and interpretation of those signals.
One major reason why using auto trading platform is that it entirely eliminates every form of a forex trader’s emotion and mental components of forex trading that often leads to failure, high risk, and money loss. Auto trading platform removes time wastage by conserving time and energy used in the development of a trading strategy. It also eliminates trader’s dependency theory that states that every successful trade is based on the idea and experience of the trader.
It always enable the trader to follow strategic and well-defined rules in trading strategy formation. This feature eliminates mistakes.
Auto trading platform is a software application programmed to initiate trades on the foreign exchange market by means of computer automation and trading signals. This auto trading platform empowers forex traders with the ability to inaugurate specific rules for trade entry and exit that can be automatically implemented through a computer. These trade entry and exit rules are majorly based on market conditions like moving average crossover and the past and present trends of a currency pair.
REASONS FOR THE USING AUTO TRADING PLATFORM
AVAILABILITY and AUTOMATION:Auto trading platform is always available in that they are very easy to procure and download.
All Auto trading platforms are seen to be automated software which means that they don’t involve the manual participation of forex traders giving them enough time to engage in other activities.
ERADICATION OF HUMAN EMOTION FACTOR
Most trades fails and goes into minimum profit and maximum losses because of human emotions. These human emotions might be in form of fear of losses and greed for more money. They are known as detrimental factors in trading for both beginners and experts. Auto trading platforms are known to overcome these human emotions and maximize profit.
Auto trading platforms are automated trading systems that encourage the complete programmability which gives forex traders the ability to adjust risk levels, profit levels, and other different trading variables. The method of optimizing the platform to initiate and carry out trades is a major factor in increasing profitability.
IT HAS THE ABILITY TO BACKTEST
Back-testing is an important tool in forex trading which is used to check the viability of a trading idea.
When programming an auto trading platform, all rules need to be authentic without the inclusion of any form of guesses. It has been completely told what to do at all times. Forex traders can test the assigned rules and test run them on past trends before involving their money in live trading.
IT PRESERVES DISCIPLINE
An Auto trading platform executes trades automatically with well-established rules. This helps preserve discipline in areas of volatile markets. Discipline in trading is often lost due to human emotions and fear of encountering losses or the desire to make more profits from a trade. In conclusion, Auto trading platform in the likes of VertexFX is essential in forex trading for profit growth and risk management. VertexFX as a trading platform is an award-winning online trading platform that is trusted by a good number of brokers and forex traders