Forex Day Trading - How to automate forex day trading

Forex Day Trading - How to automate forex day trading

You've heard it all over the internet. Big claims of profits in short periods of time as a result of traders who have figured out how to automate forex day trading for their portfolios. There are certain steps and things you should know before you automate forex trading accounts on your own portfolios. Keep reading, this is really good material.

The first step is to come up with a profitable system. Your forex trading system should focus on producing greater profits on winning trades than your losses on the losing trades. It is a given that many of your trades will lose. But if you can come up with a money management system before you automate forex trading, you can actually program that money management right into your automated forex trading software. These software programs are called Expert Advisors.

Expert Advisors can only run on the MetaTrader 4 platform. This is great news because the MT4 forex day trading platform is one of the top rated platforms, mainly because of its capability to automate forex day trading. There are some free expert advisor programs out there, but steer clear of them. There's a reason they're free. They don't work, and can't automate forex day trading profitably.

Money management is going to be the key success factor in your forex day trading. You should try to focus on finding an expert advisor program that can not only automate your forex trading, but will also build in your money management and risk factors. Choose a system that has a greater than 70% winning ratio.

The winning ratio of 70% means that the program has been back tested and forward tested and 70% of the total trades were winning. So once you have the win ratio, it's time to set stop losses to minimize your losses.

These are the first and most important steps to figure out prior to being in a position to automate forex trading on your portfolio. It's a good idea once you have it set up to automate forex day trading, to test the settings on a demo account. These accounts are free and easy to set up.