FX Player Features
1.Rental: Variety of Proven Trading Strategy Selections
2.Non-Stop Trading around the clock to Catch as Much Opportunities as Possible
3.24-hours Trading Server Monitoring
4.On-web Monitor of Trading Status |
Service
1. Customized Strategy Programming
2. Special Money Management Program |
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What is Auto-Trading
Auto Trading is system or program run in a computer to execute trades according
to the strategy pre-programmed in the computer. There are three major components
including in the strategy – execution, risk management and money management.
Execution:
A strategy is programmed in the computer to generate buy and sell signals according
to the criteria which put together by a set of technical indicators and the relevant
technical trading ideas. Buy and sell signals are generated and send to the market
when the set of criteria is met. Buy and sell orders are then placed simultaneously
based on the buy and sell signals generated from the program.
Risk Management:
As we all know, market is uncertain. As long as we are in the market, we face risk.
Therefore, risk management is one the key issue in trading business. In our auto-trading
system, risk control factors are calculated and applied to each trade executed by
the computer. Stop-loss and risk /reward ratio is calculated and set based on the
statistic (or success rate) of the buy and sell signals and the changing market
conditions. Proper risk management enhances the profit while limits the losses.
Money Management
Money management serves two purposes:
1) All the strategies will face a reasonable drawdown when the market conditions
become too volatile or being not suitable for the strategy. In this case, the stop
loss for buy and sell orders will be triggered. Proper management allows us to reserve
sufficient capital for the ongoing trading and recover the losses during such period.
2) When the account has sufficient accumulated profit, the money management system
will increase the position size accordingly to enlarge the profit in dollar amount.
The advantage of auto-trading
Most traders admit that overcoming emotions is the most critical key to trading
success. To mastering the emotion is the hardest thing in trading; and it takes
a long process and will power to achieve. Traders may realize that it is easy to
be profitable in a short period of time or in a few trades; but it is very difficult
to be consistently profit in the market. The reason behind is our emotion. As a
human nature, when we face uncertainty, our emotion will kick in subconsciously,
and take control of our behaviors. After some winning trades, we are euphoria and
become greed; then we start to give it back our profit. After some lost trades,
the emotion of fear takes control; when opportunity comes, we may just watch it
passing by.
Computer executes the trades according to the programmed strategy without hesitation,
and with no emotion involve. It compensates shortfalls of our human nature. As long
as the strategy is tested and proven to be profitable, computer can strictly follow
the trade rules and strategy mechanically and makes profit in a long term basis. |
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