The dream of many new Forex traders is to find an automated Forex trading system, simply plug it in and watch the money roll in. While you can make money on autopilot, the reality for most traders is a loss. So how do you win? Let’s find out… There are two major problems you face when looking for and executing an automatic trading system. 1. First You Need a Proven one NOT a Simulated OneMost forex robots sold online are proud of there track records of profits, despite the fact there simply a paper simulation, knowing all the prices! They expect the buyer to take this as evidence that it will make real money and many traders do. There is a problem here though…The system has made money knowing the closing prices and that’s not the reality of trading. Anyone, even my 10 year old nephew, can make money knowing the result in advance but that’s nor real trading or real money. So you need to find an automated forex trading system with a real track record over a period of time, there area few about and there very good for long term traders. Now we come to the second problem which sees traders fail even with a good system that could make them profits. 2. Discipline of Application The simulated forex trading systems never have any real losses of any real duration (because there simulated) but the real world is – you get profits long term but you will suffer drawdown short term. Drawdown depends on the system used. Typically, it will be few weeks to couple of months and you need to ride these losses out. You need to keep executing your trading signals and stay on course until you hit profits again and its not easy! Maintaining discipline when the market gives you loss after loss and makes you look a fool is hard. So how do you stay on course? Work out the worst drawdown and put your stop below it. Always assume your worst drawdown is ahead of you. Then learn the logic and make sure you agree with it – if you don’t have confidence in the logic you won’t have the discipline place your trading signals in line with the rules and if you don’t have discipline to execute your system rules, you don’t have a system. Look Long Term Automated forex trading can and does work but its not all profits and no losses as the vendors with simulated track records would have you believe. In reality you have to look long term minimum a year or two and ignore short term draw down and stay on course. If you can do this then your forex trading strategy will yield you a great income in around 30 minutes a day and you can enjoy currency trading success

Tags: Automated Forex Trading System, Forex Robot, Forex Software, Forex Trading, Forex Trading Syste

Let’s be clear most automated Forex trading software won’t make you money for one simple reason which is explained in this article. There are however a few trading systems that can make money and this article is about finding them… Before we start lets get rid of the vast majority of automated for trading systems and robots that will NEVER make you money and here are 3 steps to doing it. – Look for a track record that looks to good to be true – Look for hyped up advertising copy promising you financial freedom with no effort Now… Look at the disclaimer on the bottom of the copy and look for the words – “back tested”, “simulated” and in “hindsight”. If you see this on the copy, leave the system alone and move on – Why? Because this track record is done knowing all the price data! It’s not real profits the system has made in trading, its paper profits made up knowing all the price history! Let’s be clear we can all make money knowing the prices in advance but in forex trading the hard part is of course, having to trade not knowing what will happen next. It’s ridiculous to say a system will make you money, because it worked when the vendor bent a system to the data in hindsight and present this as evidence of future profits – it’s meaningless. Avoid simulated automated forex trading system track records at all costs! They will simply wipe out your account and do it quickly. Now you have 3 options to find a good one. 1. Look for one with a real time track recordThese will cost but you get value and all you need to do is, make sure they fit your risk criteria and that you understand the logic, so you can follow them with discipline. 2. Get One for NO CostThis may come as a surprise but there are a few that wont cost you a cent and one we are huge fans of is – “the 4 Week Rule” which was devised by Richard Donchian. This one is simple, makes money and will continue to do so. We can’t go into full details here, simply look up our other articles, it’s a great system! 2. Build Your Own This may sound hard but it isn’t. We have in other articles shown how to put together a long term forex trading system based on breakouts. You can do this quickly and easily and because it’s yours and you have built it, you will have the confidence to trade it with discipline. Be Realistic Whatever system you choose, you will need to understand how and why it works so you can follow it with discipline. Any system will have a losing period at some point and it may last weeks so you need to keep trading through the period until you hit profits. You can win if you stay on course and this requires patience and discipline. Judge it Over the Longer TermOnce you have an automated forex trading system, judge it over years not months, understand how it works, trade it as the system rules dictate, with discipline and you could be making long term triple digit profits and enjoy currency trading success.

Tags: Automated Forex Trading System, Forex Robot, Forex Software, Forex Trading, Forex Trading Syste