Forex trading platforms like 1GProfit System have revolutionized the way people trade with foreign exchange. These are simple but they are backed up by sophisticated algorithms. They are very easy to use and they take hardly few minutes to get you started.
Here are the most common types of forex trading bots you would find and their actual application:
To begin with there are platforms that fall in the category of expert advisors and then there are those that are classified as automation systems. Expert advisors are those that are backed with complicated trading information and this helps them help the trader take crucial decisions. These systems make the decisions here.
Bots for micro accounts
As the name goes these are for those who are looking to trade with smaller amounts. The financial strain would be less as a very small amount is accepted as an investment. So there are forex trading bots that allow the user to trade through their small accounts. Once you are confident enough about forex trading itself and with the use of the bot you would be able to migrate to larger accounts and proceed in a similar fashion.
Moving average based trading bots
When we talk about forex trading based on moving averages is one of the most commonly followed strategies. So we find a lot of forex trading bots that work and make decisions on the basis of moving averages. Be it to identify the market trends or execute the actual trades there are several situations where calculations based on moving averages are found to be beneficial. Money is made with these bots by the proper utilization of the various indicators.
Scalpers are those traders that are looking to make small profits by making the best out of the small movements in the market. These are particularly those who are looking for short term trading options. The profits might be less but so are the losses. So the risk would be comparatively lower. Given the volatile nature of forex market this type of trade can be really good when done right. These scalping bots would often be accessible only with the accounts held at that particular brokerage.
News trading forex bots
Who doesn’t love news trading? This is why forex trading bots designed for news trading are so popular. They help make instantaneous decisions after the market reacts to any news events. This is the period where the volatility spikes and the automated system would help avoid delays.