Do Forex Trade Copiers and Robots work?

The answer is yes and no. (In my humble opinion)

It really depends on what you are using the Forex trade copier or Robot for.

Let's say that you are an experienced trader and you are trying to automate some of the tasks for scanning charts looking for a potential trade setup. Then a Robot could perform that task and then give you a signal on the chart when it finds a possible trade. At that point the experienced trader would step in and use his or her experience to determine if the signal is really a trade worth executing.

In this first example it would be necessary for the trader to already have a trading system and have a lot of experience reading charts and executing trades.

But, for many new and novice traders this isn't the way it usually goes.

For many new traders, they don't have enough experience and they are looking for assistance in determining a good trade or they need someone to execute the trade for them. So they look for or consider using a Forex Robot or Forex Trade Copier.

Typically, the difference between the Forex Robot and the Forex Trade Copier is that the Robot is an automated trading system (black box system) and there isn't anyone validating a trade signal.

The Forex trade copier is usually operated by a real trader who is looking for valid trading opportunities with a specific trading system and there is confirmation of a trade signal to help eliminate some of the risky trades.

Most (and I haven't tested them all so this is my opinion based on the feedback I get from my trade copier subscribers that have used Forex Robots) Forex Robots are designed to do some really simple and are using moving averages or changes in a particular indicator.

But the biggest problem with this simple approach is that successful trades require a great deal of understanding. Things like price and market structure, timing, identifying tops and bottoms relative to a specific time frame and so on.

These multiple steps of confirming a trade aren't easy for a simple Forex Robot to detect.

For example, when a Forex Robot looks for a certain type of condition and then executes a trade based on that condition, the Robot could give back all previous profits when the market and price structure changes.

This is when I usually get a new subscriber to use my trade copier service because the subscriber says the Forex Robot "blew up" their account.

While researching the results of Robots, I found that a lot of complaints about the Robot are that it's hard for the use to correctly install the Robot or they don't know which settings are correct to make the Robot execute trades. This means that a Robot user is struggling day after day trying to find the right combinations for the settings to execute trades. When this doesn't happen right away, they cancel and move on to find another.

I also think that one of the biggest challenges in finding a Robot or trade copier service that really works is finding the reviews that are legit. There are just too many affiliates and inexperienced traders looking to cash in on the Forex services and they inflate the performance of their Robot and trash the reputation of good Forex service providers in order to sell their own. This makes it difficult to determine if you are reading reviews that are honest.

So I created a short list of things you should consider when selecting Forex Trade Copiers or Robots (a trade copier is usually installed onto your mt4 platform like a typical Expert Advisor and it duplicates the trades of someone else)

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