Knowing Expert Advisor – We all know that forex is one of the investment instruments that can provide abundant profits. Therefore, there are many people who are directly involved to reap the benefits of this investment.
But some people may have the knowledge and ability to trade, but some of them do not have enough time because of other more important activities and so on, so the time used for trading is not maximized.
However, now there is a feature that can be a solution for those who want to trade but have insufficient time with the Expert advisor feature.
Then what is an Expert Advisor?
Expert advisor is a feature of the trading application that can be used to trade without having to actively trade directly, only requiring a computer that is directly connected to the internet can already trade automatically.
Well, to get to know the expert advisor (EA) in forex trading more deeply, let’s discuss the full discussion in the article below.
Getting to know Expert Adviosr (EA) in Forex Trading
That way the trader does not need to stare at the computer screen directly because it will automatically be executed if it meets the conditions that match what the trader has set in this EA.
As for some general functions of the expert advisor (EA) are as follows:
- Assist traders in opening or closing positions, including buy and sell.
- Assist traders in making stop loss and take profit if needed.
- Helps traders analyze technical analysis results automatically.
- Helps traders provide trading notifications automatically.
How Expert Advisors Work
In using an expert advisor, traders are required to enter a trading order or condition, where the decision must be written in the program settings before it is applied. In entering the input, you must of course ensure that the input has gone through an analysis process using a series of statistical and mathematical methods.
Expert Advisor Advantages
Of course, by using an expert advisor there are several advantages that you will get, including the following:
1. Flexible
We know that forex can be done for 24 hours and 7 days a week, therefore forex can be done at any time. However, due to the busyness of each individual, forex robots or expert advisors are needed to replace trading when you are busy.
When you get busy that cannot be left behind, by using an expert advisor you don’t have to be in front of the compture to trade. So you can keep trading to keep making profits even though there are obstacles or other activities.
2. Simplifies the Execution of Technical Analysis
By using an expert advisor, almost everyone can execute technical analysis using technical indicators without having to understand math and statistics at all.
Because by using this feature, you only need to understand the concept of each technical indicator and the program will automatically do it.
3. Reduces Stress Levels and Potential Fatigue
Of course if you use an EA or expert advisor you will be greatly helped in trading, because by using this feature you can take a moment to rest and reduce stress because you are too focused on trading.
Expert Advisor Risks
Behind the advantages of the expert advisor above, of course there are some risks that exist in the expert advisor, including the following:
1. Lack of Updates on Latest Information and News
EA or expert advisors certainly cannot respond to the latest news and information about the world economy, where this information is very important in making the right decisions.
Therefore, here is your job that must always monitor various fundamental aspects such as world news that can indeed affect the economy and market asset prices.
2. More Rigid, Program-Dependent
EA or exper advisor can manage various variables at once in one process, but that makes us rigid or too disciplined about it, where often price movements move not as we expected which resulted in the failure of traders in taking opportunities.
Tips for Using Expert Advisors in Forex Trading
After you know the information about expert advisors (EA) in forex trading starting from understanding, advantages and disadvantages, here are some tips for using expert advisors in forex trading, including the following:
1. Choose EA from the Best Platform
The best expert advisors are of course sold by the best platforms too, usually the EA is traded by third parties. As a tip, use the best EA from the best platform, such as from the Metarader 4 and 5 trading platforms that have proven their quality.
2. Understand the Programming Language of the Related Platform
Each expert advisor has a different programming language, therefore it is very important to understand the programming language of the relevant platform in its use.
This is because you can’t enter commands or trading conditions if you don’t understand their programming language.
For example, Metatrader 4 uses MetaQuotes Language 4 or MQL4 as the language to set up the program in Metatrader.
3. Understand Technical Indicators
It may be true that expert advisors can help you simplify the trading process, but understanding technical indicators is still very necessary in entering orders or trading conditions, as it can help you make more informed decisions.
Closing
That was the explanation of the discussion of getting to know the expert advisor (EA) in forex trading which has been explained from the start of understanding, disadvantages, advantages and tips on using it. From the information above, the author hopes that you can be better and more reliable in using the EA feature to trade with maximum profit.