Twenty years ago the barriers to entry for an individual trader or trading club looking to start an investment fund based on a fully automated or algorithmic system were incredibly high. Access to information was limited, data could not be transferred as quickly, and processing times were slower.

The Pros And Cons Of Automated Trading Systems

Fast forward to As a result, interest in automated trading is on the rise as individual traders look to be their own self-appointed fund managers. Here are a few reasons why:. For the rest of us though, automated trading makes it possible to participate in the market while you are catching your Zs. Attempting to backtest a manual trading strategy poses a series of challenges. There are even platforms such as MetaTrader 4 MT4 that allow the user to backtest a strategy at no cost to the user.

The greatest difficulty a trader faces is deciding when to pull the trigger.

For those who have struggled in the past or never mustered the courage to trade on their own, an automated system offers them an alternative to a market they otherwise would not have considered. Many traders enjoy running systems while simultaneously placing trades on their own.

Instead of avoiding volatile pairs you can allow a system to trade it on your behalf. The FX market offers traders access to an unprecedented amount of leverage, meaning movements as small as a fraction of a penny can result in substantial gains or losses.

The Benefits Of Using Automated Forex Trading Systems

When deciding upon a system I suggest assessing your tolerance for risk as well as the capital set aside for trading before you allow it to trade your funds.

Please contact us with any further questions or comments: The views expressed in these articles are those of the author and do not necessarily reflect the views of Forexware. Track Record Try a Demo Contact Us. Blog Home 5 Advantages of Automated Trading 5 Advantages of Automated Trading. ForexWare FXStarterKit is a full solution Forex trading system for small businesses and startup brokerages looking to add more liquidity and MetaTrader trading solutions to their clients.

Signing up for FX Starter Kit is as easy as registering, choosing a front-end trading platform, then customizing the user interface with your brand. After creating a seamless interface firms can connect to our API and we host currency trading data with backend solutions.

Using FXStarterKit lets managers focus on getting more Forex trading institutions and offer custom services for their clients. Choose from 4 back-end platforms including MetaTrader and front-end Platforms XW.