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Automated System or Manual System?

WilsonHiew

By WilsonHiew
in General Forex Discussions

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Automated System or Manual System?  

41 members have voted

  1. 1. Automated System or Manual System?

    • Automated System
      4
    • Manual System
      37

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Jagernaut Newbie

Jagernaut

Posted
Posted

Re: Automated System or Manual System?

 

The rule in trading houses is-

 

let the system run unless major news event will have effect that the system doesn't recognize ... like from major political events like assassinations, hurricanes earthquakes,

embargoes, ..................

 

Systems have to be trustworthy, but then data shows that second guessing is counterproductive without major news events.

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bobtom55 Newbie

bobtom55

Posted
Posted

Re: Automated System or Manual System?

 

Yarman,

Why would the Broker care if you Make or Lose money. My Brokers are not betting against me. They make their money off of the commissions and or spread in Forex. If you continually make money the Broker would be happy, because you would continue to trade and they would make more commissions. If you always Lose money then you would close the account and the broker would need more new clients to survive.

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bobtom55 Newbie

bobtom55

Posted
Posted

Re: Automated System or Manual System?

 

Just something to keep in mind.... When evaluating an automated system, we all need to make sure that it has a Real Profit Probability after commissions and probable slippage. A lot of vendors will put out a system that has a net per trade of $20 for example. After deducting commission and probable slippage that would probably result in $20 - $5 commission - $25 probable slippage(trading ES) = resulting in a Real LOSS of -$10. In my opinion, I believe a system must have a net per trade(before commissions and slippage) of at least $50-100. If it is lower than this then it may make money in SIM mode, but then LOSE Real Money in Real Trading.

 

Thanks,

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henryadex Newbie

henryadex

Posted
Posted

Re: Automated System or Manual System?

 

Manual trading though time consuming that is where the real money is

EA no matter how good can be manipulated by brokers

There are some discretionary trades that someone can take that ea would not be able to

All you need is get a good system take time to master it and ride on

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cheezehead Newbie

cheezehead

Posted
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Re: Automated System or Manual System?

 

I have been trading forex for about 4 month, and I am using manual system i.e. the system generate signals for me, and I do the analysis and place the trade. Although it has made me 30% profit up to date, I still think that manual system is time consuming. And I thinking to switch to automated system, my opinion is manaul is always better than auto, but it would be appreaciated if any of you can give me some valuable insight on this.

 

 

A robot will never work with human intervention at some part of market. robots cannot think of things that humans think about. if the banks want to reach a certain level in the market out of whatever reason, they will band together to do so without any technical reason to back it up. Once we have a robot that can apply discretion, then maybe, just maybe, it might have a chance..

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Cyrillic Newbie

Cyrillic

Posted
Posted

Re: Automated System or Manual System?

 

Both are good, if you can't use either don't bash the other, humans can be incompetent and make ridiculous decisions robots can get into the situations they are not optimized for, bot can be good and be bad, its not the tool its the person which makes use of it...

[spoiler:26ukmy10]Never trust, never fear, never beg[/spoiler:26ukmy10]
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Arborfx Newbie

Arborfx

Posted
Posted

Re: Automated System or Manual System?

 

In my opinion, all things been equal (which can never be) having a robot trade for you could have been the best since it is a dummy which has no emotion like man, just follow the rules. But when you buy an EA for less than the price of a pair of shoes and you want it to make you a million $$$, is that not funny to say the least? Or when you want to do-it-yourself, you buy a $15 book on programming, went through it for a while and bang!!! you came out with your own EA that will make you another Bill Gates. If it is so easy to do, do you think MT 4 people and others would have make such a thing available to the public? It cannot work all the time and that is why you have upgrades coming out almost every week or month. If it were the holy grail, do you think forex marketers out there will ever sell it to us unless they are richer than Warren Buffet? EA cannot set you free completely from responsibility, in fact when you have a EA that when you will be up and running. You have to keep your eyes open and be ready to yank it off before it burns off your entire account. It could bring you blessing and also curses. In all, manual trading is the best for the small retailer until you have good money to really hire a dedicated team of programmers and trade analysts to help you out. Even now, the two can be combined with great supervision. :shand:

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vicky_ag Newbie

vicky_ag

Posted
Posted

Re: Automated System or Manual System?

 

When I started, I was on a EA, a very famous scalping one. It used entries at specific times and took a huge number of scalps. Now with time the brokers got a wind of it and widened the spread, just enough to make sure that the scalps turned to losses at the end of the day.

So, EA not a good option cause it has an element of predictability but as a human we tend to miss even on a good trade if it looks doubtful. That in my opinion creates a way which cant be beaten easily.

 

But if you are the kind of person, who likes to pick all the pips coming his way (even if the trades look doubtful), then yes EAs are the best. Personally, I like to make enough and give any doubtful trades a miss, that doesnt make sure a 100% win ratio but I am comfortable to it.

 

So, frankly it is more about your trading personality, you should ask "What kind of a trader , I am?" Though with the first post of yours, it seems you like to earn money but with minimal effort. So, better go for an EA. :)

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piporo Newbie

piporo

Posted
Posted

Hello!

 

The FX market is in constant flux (Change) at times 60% sideways, 30% trending up or down and 10% breakout, conditions that traders have difficulty clearly determining. To have an EA that is successfull under all condition and most importantly during the many transition phases is desired but not easily obtained. I think that a discretionary manual system that meats the personality needs of the trader; made up of some basic rules (fx fundamental) that are flexible but not rigid allowing for the "trader" to make decisions that adapts to market changing conditions will be successful in the long run. Such a system will out perform an automated system that is made up of current available programing technology. Of course there are claims and propaganda from the $97 EA factory. I gave up on robots after testing a few hundred. My time is better spent mastering the market and it's nuances using existing indicators and not attempting to find a holy grain of re inventing the wheel. I will continue to monitor EA for any improvements and the many spins and approaches that surfaces. Frankly, we are our own worst enemy in the business of FX trading.

 

Good day!

 

George

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Guest grump

Guest grump

Posted
Posted (edited)

"Frankly, we are our own worst enemy in the business of FX trading." The truest words you will ever hear in Forex trading..

thank you

the grump

 

As far as the question goes I use both my own private EA and manually trade . My EA actually makes more than my manual trading but the reason is I spend more time with my EA.

 

Another poster is correct also a robot cannot think but this is why it works. You do the thinking and the robot does the mechanics a perfect relationship.

I will leave my stats up for 1 day so you know I am just not talking BS.

It's a live money account..

http://www.myfxbook.com/members/MyLiveEA/my-live-ea/22865

 

the grump

Edited by grump
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