FlorenzaHermes538

Five top reasons to consider automated trading

traders coach - There are five reasons why I love automated trading or algorithmic system type trading. It can help me stay with my trading plans and frankly I believe of myself less like a trader plus more being a portfolio manager. Here are some reasons why:

1. Remove the Emotion - Some say trading is 90 percent psychology and 10 percent your plan, I don’t really accept that but let’s express it is valid, then, in the event you automate your software system have you removed 90 percent of the problems? Traders hesitate to pull the trigger, or get impatient and begin prematurily .. Regardless of how much you believe you are able to train your brain to be more disciplined, you'll always be human. Why not make use of the computer for it’s strengths, being a robot, and allow it to execute your automated program for you.

2. Backtest Within seconds - It can take hours or days to go through years of charts searching for your entry and exit points and marking the end result in a spreadsheet. Having a automated software system it is possible to manage a test in seconds and find out the end result during the last several years, including percent success, variety of stopouts in a row, average pip or tick profit per trade. Then you can get one of these variation of one's idea like a larger profit target, and again begin to see the effect, within seconds. - trading coach

3. Step out of the computer - have fun playing the markets while you place the kids to rest, have dinner, and have a telephone call. Even if you not have the time and energy to trade, you could have your trading plans running via automated systems.

4. Multiple trading plans running simultaneously - The number of markets and charts can you watch concurrently? Some traders joke that the approach to fix a bad trading patch is to buy more monitors and set more charts in it so your office looks more important. Whenever you automate your trading plans you can enjoy positions being taken on several pairs concurrently for independent reasons. In fast paced markets its helpful to be able to do 2 things at the same time.

5. Place Trades When you Sleep - 8 hours uninterrupted sleep inside a pitch black room with the exact same bedtime every night is vital for sharp thinking during the day, yet few transform it into a priority. Ever notice the better times to trade might be between 10pm and 6am? The idea that you’d let some type of computer trade your plan while you sleep may be unsettling for a few but here’s how I notice. Firstly I never take more chances than 1 percent of my trading account on any 1 trade, and secondly Time passes for moves on the market that last longer than 8 hours, therefore anything was to ever go wrong it would just be 1 percent of your problem and when I got up in the morning my open position may likely be within my profit and stop area, plus my profit preventing are placed at time of entry and stay with the trade till it closes out. Having traded because i sleep for a long time now I seriously enjoy it since you can’t consider it when you sleep, so that you just let the maths and statistics do their work. - greg adams