Trading robots have become popular among many investors looking to earn a good passive income on their investments. These algorithms trade the markets depending on the coded information within their code. Many types of expert advisors use different strategies such as swing, day, or scalping.
Understanding how these systems behave and their application on the respective software can help traders stay away from the potential drawdowns. Our article will discuss each attribute traders should consider before purchasing these EAs and provide a good understanding of their use.
What is a forex robot?
A forex robot is an automated system that trades on the market and provides a positive or a negative return depending on the conditions. Some algorithms do not do executions but provide signals on the chart to traders. Traders can then follow them and implement trades manually on the platform. Each trading robot is coded using a specific language and is built for a particular software. For example, MetaTrader 4 platforms will only support EAs that are coded using MQL 4 language.
Best Forex Bots 2022
1. TechBerry
TechBerry has been providing exceptional automated trading services using its inbuilt neural algorithm since 2015. The platform is entirely risk-free as it offers loss reimbursement and secures your funds via FIDC-insured banks.
Subscribers have a range of plans to choose from, starting at Green and going up to Infinite. Full-time support is available through a personal manager that answers all inquiries within a short span. A decent monthly gain of over 10% is available, which far outweighs the returns from a hedge fund or bank.
| Advantages | Disadvantages |
| Real-time trade monitoring | No clear strategy to reveal |
| Risk-free investment | |
| Support for over 50 regulated brokers | |
| A free trial is available |
2. Learn2trade
Learn2trade offers trading courses for traders of all levels. The company tries to cover all market instruments in its portfolio. Traders can join their Telegram channel to get free signals. The news section on the website covers all the important incoming announcements.
There is live market analysis published daily on the website, which traders can use to make their own future ideas. It is possible to get their trading signals for free by depositing $250 in the broker of their choice.
| Advantages | Disadvantages |
|---|---|
| Trading information available for all traders | No transparency on the pricing model |
| It covers most of the markets | |
| Provides free signals on Telegram | |
| Contains reviews for multiple financial services |
3. GPS Forex Robot
GPS forex robot has been in the market for several years. The company has live tracking results available on Myfxbook, which traders can use to gauge its output. Multiple backtesting results show its performance on historical data.
The company presents the third version of the system, which they claim to be more accurate and has the least drawdown value. The robot aims to provide a steady upward trading curve with a few percentages of profit each month.
| Advantages | Disadvantages |
|---|---|
| Live records are available | It has a high drawdown |
| Full transparency on developers | The profits are quite small |
| Good customer support | |
| Access to investor password |
4. Wallstreet Forex Robot
Wallstreet Forex Robot has multiple features built in the algorithm that allows it to be profitable. The EA comes with lifetime support and has a broker spy module that detects slippage, spreads, and latency on the trades. The developers offer a 60-day money-back guarantee if a trader is not satisfied with the product.
The algorithm can work on ECN brokers and has an advanced time management system. Traders can witness backtesting and live records firsthand.
| Advantages | Disadvantages |
|---|---|
| Live records are available | It has a high drawdown |
| Detialed backtesting records | |
| Good customer support | |
| Access to four algorithms |
5. Forex Fury
Forex Fury is compatible with most forex brokers and is available on both MT 4 and 5. It has a built-in money management system to avoid excessive risk on trades. It can trade on any pair and has many filters to avoid bad market conditions. Traders can choose between low medium, and high risky strategies within the settings.
The algorithm places 0-7 trades each day. It trades on range-based methods and dwells on low volatile trading conditions.
| Advantages | Disadvantages |
|---|---|
| Compatible with most brokers | It has a high price |
| Detialed backtesting records | |
| Good customer reviews | |
| Multiple subscription packages |
6. Forex Steam
Forex Steam goes through constant tests and optimizations and has been available on the market for around ten years. It comes with a step-by-step guide for new users to install it easily. The company states that over 6000 traders are currently using the system.
Forex Steam is fully automated and was produced together by a team who had a combined experience of 25 years in the forex market. The winning percentage for the system currently stands at 90%.
| Advantages | Disadvantages |
|---|---|
| The asking price is quite low | Trading records are not tracked |
| It has a spread filter | |
| Good customer reviews | |
| It has a high win rate |
7. 1000pipclimber
1000pipclimber system allows traders to adjust the entry price, stop loss and take profit parameters. The robot runs on the MT 4 platform and comes with a user guide to help beginners install it. The developer is also supportive and answers questions provided by traders.
The algorithm acts as an indicator and provides signals to traders on the 15 minutes, 1 hour, and 4-hour time frames. Traders can follow it easily.
| Advantages | Disadvantages |
|---|---|
| Available with live records | Only available on MT 4 |
| It has options to tweak the stop loss and take profit | |
| It comes with a user manual |
8. Forex Gump
Forex Gump trades on multiple currency pairs and has a built-in trend and news filter for trading. The robot can be used with low, medium, and high settings to protect the trading capital. Traders can use the algorithm with a minimum of $4000. The robot constantly scans the market on the M1 time frame.
Forex Gump is available with multiple purchase options that differ on the number of licenses available. Traders can track its performance through live trading records.
| Advantages | Disadvantages |
|---|---|
| 30-day money-back guarantee | No backtesting records are available |
| It has a news filter | |
| Live records are available |
9. Forex Flex
Forex Flex EA is available for both MT 4 and 5 platforms. The algorithm has builtin 12 available strategies that it can use to trade. The robot supports all currency pairs and avoids major news events. It comes with the best-optimized settings and free updates.
The company has a community support platform where traders can gather and discuss the software. The robot can also filter out sessions and has a drawdown stop-loss function to stop trading when eh equity loss is too high.
| Advantages | Disadvantages |
|---|---|
| 30-day money-back guarantee | No backtesting records are available |
| It has a news and session filter | |
| Live records are available for multiple accounts |
10. Happy Frequency
Happy Frequency trading robot uses a grid, hedge, and martingale strategies on multiple currency pairs. The robot currently works on the MT 4 platform and requires a minimum deposit of $4000 for trading. It is fully automated and comes with a 30-day money-back guarantee for traders.
The robot can work on multiple account types and detects 4 and 5 digits brokers automatically. The company constantly updates the EA to match the needs of the traders.
| Advantages | Disadvantages |
|---|---|
| 30-day money-back guarantee | It requires a large minimum deposit of $4000 |
| It can trade on multiple currency pairs | |
| Live records are available for multiple accounts |
11. Forex inControl
Forex inControl trading robot shows a whopping gain of over 1000% on live records. The EA trades on two currencies and helps traders diversify the risk on the account. It has a hard drawdown control system to reduce exposure on the account.
The developer provides a detailed user manual and free updates along with professional support for traders. Backtesting is also available for multiple currency pairs, which traders can use to know its historical performance.
| Advantages | Disadvantages |
|---|---|
| Live records are available | It costs $310 with no money back |
| It can trade on multiple currency pairs | |
| Backtesting records are there |
Automatic trading robots – pros
There are the following benefits of using an algorithm for trading purposes:
- It allows traders to earn a good amount of passive income on their investment without having to move a single muscle
- Trade managing robots help in managing the psychology of traders as they perform all the functions on auto mode
- Trading robots are not influenced by greed, fear, and other human emotions, which allows them to trade with complete accuracy
- There are multiple choices of algorithms available in the market from which traders can choose
- Traders can diversify their investments by putting their cash in various algorithms
Automatic trading robots – cons
The demerits of using an algorithm for trading purposes are:
- Robots that use grid and martingale strategies consume a major portion of the market. These EAs can be deadly for your account
- The algorithms that are poorly coded may work under certain market conditions but fail in others
- It can take a long time forward testing an EA to judge its real performance
What are the main functions of a forex robot?
A forex robot is not limited to trading the markets. As mentioned before, it can also provide trading signals to traders which they can follow manually. Trade managing EAs can add a stop loss, modify the trailing stop, etc., to your trades.
An EA can also be used to modify the trades opened by other robots on the same platform. For example, an algorithm can be used to shut all the positions once the equity level drops or rises to a certain level. Traders can also use robots to provide them alerts on their mobile phones or email and track trades.
How to use a forex robot?
Most of the trading robots in the financial marketplace are built to work on MetaTrader 4 and 5 trading platforms. Traders must copy the robot’s file in the designated software experts’ folder to install the systems. Refreshing the experts’ tab and attaching the EA on respective charts will start trading.
A trading robot may have multiple settings within which can be tweaked according to a trader’s liking. It is, however, recommended to use the best set file provided by the developer for proper functioning. Most expert advisors provide risk management options that help adjust the lot size and should be configured accordingly.
Types of automatic trading robots
There are several different types of automated algorithms available in the market. We have summed up the important ones in our list below:
- Arbitrage. These algorithms are one of the most famous in the market. They utilize the difference in the price feed of different brokers to open orders and profit
- Grid and martingale. These robots open orders successfully once the trade moves in the negative in the initial direction of the position. The lot size increases on each one
- Managing. Traders manager EAs will loot after all the opened positions. They will tweak if necessary.
- Indicators. These EAs provide signals on the charts which traders can follow to open trades
Other than these, we can also classify robots depending on their nature of trading, such as scalping, day, or swing.
How to avoid a scam forex robot?
Scam trading robots can be easily identified if the traders keep a few things in mind.
It is essential to look at the vendor and see if they provide information on their experience and outlook.
Scam trading robots do not come with live trading results and backtesting records as they always result in a margin call.
In many cases, the developer will not be keen to share the details on the algorithm’s strategy.
Criteria used to compare the best forex robots
The best trading robots in the market offer a good balance and equity curve while keeping the drawdown minimal. There are a few criteria that a trader should keep in their mind before choosing an algorithm that will help them make the decision. Let us discuss them below.
Number of currencies traded
The number of currency pairs that are traded should be at a minimal level. No robot can trade multiple currencies with a single strategy as the price action behavior of each differs from the other. EAs that claim to trade various currencies at once are mostly a scam.
Safety and reliability
The safety of an EA depends on the amount of drawdown it can incur while trading. The robot should provide a decent risk-reward scenario on trades. Traders can also use the monthly profitability and drawdown value to see if the algorithm is safe to use or not. A good robot will keep your account away from margin calls.
Risk management tools used
Risk management within a robot allows it to determine the lot size before placing a trade. Poor capabilities to determine it can result in huge losses if the trade goes against your favor. The EA should have the auto lot function built-in in its code. This way, it will provide the proper relative drawdown while backtesting.
Trading accuracy
Along with a good risk-reward ratio, the robot should also have a high win rate for trading. This can only be accomplished if trades are opened with a good amount of accuracy. If the positions are placed randomly, then it will only result in loss.
Backtest result provided
Backtesting results are a good way to determine if the robot will be profitable in the future. It eliminates the need to forward test the system for a long duration. Through such records, we can know the win rate of the system and the profit factor along with the expected drawdown beforehand.
Purchase or subscription costs
Some robots can cost more than $10000 but fail terribly when we place them on a live account. The amount of money needed to purchase a system should be a decent level within an investor’s approach. The developers should offer a free trial to customers to get an idea about the product before purchasing.
Reliability of their development team
Traders should note that the developers are transparent in providing their whereabouts and contact information. They should also present a portfolio that depicts their experience. A good and reliable development team will ensure to answer all your questions to make trading smooth as possible.
Benefits of the best forex robots
There are multiple benefits to using the best forex robots. After looking at some of the top products available in the market, it is necessary to know what outcomes are available to you as a trader. This can help you finalize the investment decision on the right product. We have listed some of the good reasons to consider:
Passive income through trade automation
Trading robots are a good source of passive income for traders, which is much better than putting your cash in a hedge fund or a bank. Through the EAs, you have complete control over your funds and the risk you are willing to take. It is also possible to increase the output of the algorithm as per need.
Help to improve trading strategy
Trading robots that help manage your trades can help you improve your trading strategy. Traders can learn about the markets quickly and easily and see what works best without using much effort.
Suitable for beginners
These algorithms do not require a financial degree for traders to work properly. Everyone can learn how to use them within a few minutes. We have solved the major part of hunting the best one by providing a list of good EAs above.
Fast data processing and analysis
Humans can’t achieve the processing power that robots have. These systems perform complex mathematical calculations within a few seconds and perform executions in a matter of milliseconds.
Best forex robots review summary
Traders can get a good amount of gain while keeping the risk on the account at a minimal level using the best forex robots in the market. Before purchasing one, investors should take a peek at the live records to have an idea about the profitability. Using the top systems can give you peace of mind as they take care of your investment in a healthy fashion. It is better to monitor all your accounts every once to see if the EA is working properly.
