How Forex robot works?
A Forex trading robot is a computer program based on a set of Forex trading signals that helps determine whether to buy or sell a currency pair at a given point in time. Forex robots are designed to remove the psychological element of trading, which can be detrimental.
Robots in trading were designed to eliminate the two human emotions (greed and fear) that lead to bad decisions in forex trading.
Robots is intended to survey traders conduct and come to a conclusion on the exchange conditions that occurred because of emotions that are beyond human control. Based on the collected data, the robot trading systems execute trades effectively without emotional influence. Hence, traders who utilize robots tend to make more profit than others. It may sound confusing for someone new to forex trading market, but as soon as you start using it everything becomes clear.
Here is how automated robot technologies are powering the foreign exchange market.
Big forex trading firms use High-frequency trading (HFT) to stay one step ahead of others. HFT helps these companies respond faster than others to market-moving trades by analyzing technical indicators across multiple exchanges.
Here is a quick example, if a massive Ripple buy order is placed on one exchange platform, HFT could pick up the signal instantly and capitalize on the spike to send a request/order on a different exchange. So before any human trader can pick up the gist, the party is over.
Robots make human traders better traders.