What is an EA or autopilot robot in trading forex?

What is an EA or autopilot robot in trading forex? - Nowadays people offer trading services for Forex Trading Robots scattered on the internet.

You can find it easily via the internet, or by typing a 'magic word' on the Google search engine and immediately appear on the start page of the search. Many sites offer download Forex Trading Robots.

There are also those that are commercially published, as well as those that are downloaded and used free of charge. Unlike other terms, Forex Trading Robots can be used in all transactions in forex.

The Forex Trading Robot (autopilot robot) is able to control existing transactions, both controlled by the user and left to run alone. All types of Forex Trading Robots are widely used by traders in Forex transactions, whether paid or free, all can be tried.

Then, what exactly is the Forex Trading Robot? Where does it come from? and why was it created? 

Forex Trading Robots are also called 'Expert Advisor' (EA). EA is a software program specifically designed to help humans take over transactions in futures trading. 

All forms of trading transactions can use Forex Trading Robots (EA), so autopilot robots can be categorized as trading aids for traders. So, in other words, Forex Trading Robots (Expert Advisor) are software or algorithm scripts that can be added to the forex trading platform with the aim that the application will be able to run automatically or make buy and sell transactions without user manual instructions. 

Trading Robot, also known as EA Forex, is one of the main components in Auto Trading with various functions.

Expert Advisor (EA) History

Expert Advisors has evolved for a long time, first made through a programming language called Metaquotes which is packaged in metatrader. Metaquotes was first made from version 1 in 1999, until now (MT4 / MT5). In 2002, version 4 metatrader was started, until in 2005 metatrader 4 was released.

Of all metatraders, version 4 is the most widely used to date, because it is already more complex than before. Whereas in version 5, metatrader has been given another advantage, one of which is faster transactions compared to version 4.

For the MT5 Forex Trading Robot, the focus is more on the backtest acceleration and price detection in each Forex Trading Robot.

What can be done by Robot Autopilot?

The autopilot robot functions vary, depending on how the application is set by the trader. Generally, EA can be programmed to do the following:
  • Analyze a currency pair based on certain technical indicator parameters that we can set ourselves.
  • Can open positions (OP) either Buy or Sell and can also close automatic positions.
  • Can analyze the financial management of our account, such as margin, balance, etc.
  • Change Stop Loss (SL) and Target Profit (TP) for a trading position that is currently running.
  • Send alerts in the form of voice, email, API (integration to other applications).
With the ability to integrate into other applications, the potential for EA development is unlimited. However, Forex Trading Robots only carry out trading according to the program in it. A Trading Robot will not go off track from the system that has been determined by the manufacturer.

So, a great EA is definitely the result of a translation of a proven and reliable trading system. The more powerful the programmers apply to the language of the robot, the results will be getting closer to reality and of course the opportunity to get even bigger profits.

Expert Advisor Component

Expert Advisor (EA) consists of several program components that are made to assist in transactions. In the component, there are 3 main components, namely: Start, Init, and Deinit. These three basic components make the program work. All types of transactions will start at the start, while those init and deinit as time orders are executed or endorsement during separation / closing. If the three components are not met, the Trading Robot will not run, even though the program code is available and complete.

Function of Trading Robot

In general, Forex Trading Robots have a function as human trading aides, but further than that, it has functions that are far more powerful than human transactions, including:
  • Execution is faster than human execution
  • Tirelessly trading
  • Capable of transactions exceeding human capabilities
  • Without being affected psychologically
  • Always discipline following the system
  • Anti requote
  • Don't sleep and always read every price
  • Not affected by the outside environment

Autopilot Forex Robot Application

For now the autopilot robot application can be used using the metaeditor which can only read the programming language code from the EA robot. The MetaEditor was built together with the MetaTo trader software. The compile program is merged into one named Metatrader.

The Meta Editor itself is designed only specifically for making indicators, autopilot robots, and scripts. In addition, this application is supported by reading notepad as the basis for making meta editors.

The beginning of coding in the EA autopilot robot follows the rules of the basic programming language, namely C++ Language.

With the basis of the program, the Forex Trading Robot code began to be created and made open source as a form of development that can continue to be refined.

Until now, the code of the Trading Robot v.5 has been enhanced with additional important codes that can help programmers more quickly complete the automatic robot without requiring more complicated code.

Do you have to make a Forex Robot?

The answer is up to you, but now a lot of robots (EA) are commercialized and can be easily searched via Google. Of course, not all EA forex is reliable.

If a trading robot is reliable, why sell it? Used by the manufacturer alone can already be a money factory.

However, many EA makers also want to get additional income by selling their robots. Therefore, now it is easy to get an automated trading robot, from cheap and expensive prices.

Types of Trading Robots

In general, Trading Robots can be categorized into three, namely:
  • Homemade robot. As explained above, you need to know a programming language to be able to make EA. If you do not know it, then you can also ask to be made by the service provider to make EA based on the trading system that you have tested yourself.
  • Robots obtained for free. Free trading robots referred to here are made by certain individuals, then shared with others without charging a subscription fee. It's just that, free robots like this are usually less reliable and require modifications before they can be used safely. Some examples can be seen in the Forex Trading Robot Bank.
  • Paid robots. Many reliable trading robots are traded online. To use it, you simply pay a certain amount of money. Especially for paid ones, you should be careful in choosing it and make sure that the paid robot has been tested and is better than the free version.
So, basically the Forex Trading Robot is only a helper for human transactions in forex trading. Regardless of how it works, EA is equipped with transaction rules from the beginning of making the codes and components available.

Aside from being a helper, EA is able to increase transactions more optimally without the help of users in overcoming open and close transactions.

However, EA still needs a human hand as a controller or full controller in every transaction. Without a trader, EA will lose direction, even though it has been made well according to experts. In using EA we must also pay attention to the Balance, Margin, or Equity that we have so that later we can be safer in trading, especially nowadays most robots use the "martingale" system.