Finding a reliable automated forex trading software is all about a trader expectation vs claims of the software. Marketing sometimes make a trading software seemingly able to produce super-human results under minimum efforts. If the trader has a low level expectation of a software and the marketing claims to generate 10%-30% return in a month , he will find it reliable even if it achieve a low range of 10% return. However if a trader expect doubling his account every month and the software claims to make 50%-100%, he might feel cheated if the software achieve a 90% return.The fact that the reliability of a automated forex trading software has much to do with the market conditions and whether the trading strategy is able to strive well under those market conditions.To understand how reliable an automated trading software is, you have to understand the key features below:1. The competency of the programmerA competent programmer is very important to finding a reliable automated trading software. There is no point coding the best winning trading strategy in the world if he cannot code the entire essence of that strategy. The software must be able mimic how a human trader would trade without the emotions and stress. This would eliminate any human weakness and exploit a winning strategy to a full extent. He should have already coded some automated trading software for our references. This would ensure that he has gone through the process of creating a reliable working software.2. It has been backtested rigorouslyAn automated forex trading software must be put to repetitious testing over large samples of trade to prove that it is profitable. It must be on par with the results claimed on the sales copy. Though we can not foresee the future results, we can use back testing to estimate the effectiveness from its profitability.It should also be tested with different currency so we can understand which currency the strategy is best suited for. Take note that it is impossible to profit from every trade.A reasonable net profit over a large sample of trades is what we want.3. Biggest drawdown vs your tolerance and money managementEvery trading strategy will have its drawdown over a period. You need to find out this drawdown size and whether your tolerance level can endure it. A trading strategy might yield a 100% return over 1000 trades but there might be a drawdown of 50% in the middle of this period. Most traders might not be able to take this big drawdown and choose to exit prematurely based on personal emotion. This knowledge is important as it aligns your expectation of the system.Most automatic forex trading software has a stoploss of 500 to 1000 pips. This is unacceptable with many traders and they tend to lose confident putting their money with this software. A system will never be reliable in the users’ eyes if it does not suit its user needs and expectation.4. Reviews of actual users vs results claims of the softwareThe best proof of a reliable automated forex trading software would be looking at the reviews from the actual users. Unhappy or happy users will always be very enthusiastic to share their opinions online. Google for the software to find out about their opinions. See if their reviews aligns with your expectations. However, be aware that some new traders might be making bad reviews due to their high expectation. They might expect a 100% return each month. Though this is very possible but we need the market cooperation. A non-trendless period can makes it hard for traders to make good profits.So you must compare the users’ reviews with the claims on the software.
Learn to choose the BEST Automated Forex Trading System.