The MetaTrader 4 trader release has brought forth a high demand of forex robots expert advisors. With the scams and the many specialist advisors available, it can be a challenge to get one that works well. To get the right robot that suits the style of trading you have, there are some areas you should analyze.
Getting a robot showing good figures is not enough to secure your financing. Only by following the risks you are ready to take can you get a robot that suits you. Note the robots that bring in more profit are also the ones that are most risky. It is best to set up a demo account to test a robot before you use it. Here are some pointers to use when selecting robot expert advisor.
The Expert advisor robot should be tested
To avoid being disappointed then you should get an Expert Advisor that has been tested. Get one tested by a website that is independent. You should also understand that robots do not perform well in all type of markets. To obtain the best results; then it is not enough to get a good site. You need to understand the way the robot works and change the settings to suit the market you are using to trade. You should also note that it is paramount to supervise the robot to ensure it is performing well.
The profit factor
When you are choosing an advisor, you need to look into the statistics. This is what will give you answers on whether the robot will make money or not. When you do this; you will be able to learn of the gains of the profits you will be making as well as the risks.
Expected gain pre transactions
You should be able to look at the much you are earning after each transaction. These statistics are based on the past trading outcome. Though they do not guarantee the future result it can be a useful tool when you are getting a robot.
Even if you get a robot that makes a profit with too much risk on each trade, it is not good. The purpose of looking into the drawdown is to understand the risks. The drawdown will aid as it will give you a percentage of the minimum loss since the high profit. This will let you have an idea of how much the robot can drop in your account. To be safe you need to choose advisors with a smooth curve.
Look into the ration of the risk and reward
When you look at the risk-reward ratio, then you will be able to understand the robots appetite for risk. The risk reward ratio will help you be able to tell the rate of profitability. When you do this, you will be able to find out if the advisor is suitable for you.