What is Forex Robot (EA : Expert Advisor)?

November 13, 2021 By Rhiley W.

Forex Robot (called also Forex Expert Advisor) is an automated trading software. Forex robots allow you to trade automatically on the popular Forex market (currency exchange market). Forex robots (expert advisors) are very popular among forex traders because they give them a freedom – forex robots can trade 24 hours per day and 5 days a week – the forex market is open from Monday till Friday.

Forex robots are very easy for installation and configuration. Most of the forex robots are developed for one of the most popular trading platforms MT4 (MetaTrader 4). MT4 trading platform is developed by MetaQuotes company. It is a very useful tool for trading on the Forex Market. Each MT4 terminal must be connected with forex broker to get the latest quotes. All brokers offer MT4 terminal pre-configured to work with their servers. You can open a demo account for free with any broker and then to download the MT4 terminal. You can test any forex robot on these demo accounts with virtual money.

The main task of forex robot is to monitor the market, to analyze multiple data from the market and forex indicators and when there is a good opportunity to buy or sell automatically currencies or other instruments. Forex robots/expert advisors also automatically manage their own trades without need of manual human interventions. They are able to close any trade on profit or loss depending on the market situation. All of these make them extremely preferred for trading currencies.

Forex robots don’t have emotions, fears and hesitation! The decision to open a trade is taken on the basis of complex calculations. This eliminates the mistakes to 0%. This is another good reason why forex robots are so preferred by forex traders.

Each forex robot can be configured precisely. There are settings for all important parameters. Each of these settings can be changed and adapted by the users. This way the robots can be adapted to cover all users’ expectations and needs. For example, such settings are:

  • Money Management settings
  • Taker Profit settings
  • Stop Loss settings

And many other useful settings.

MT4 terminal allows any forex robot to be tested with historical data. This is extremely useful because it lets developers to improve their robots, to find weaknesses, to correct problems and to adding functionalities. The ability to test the forex robots is also useful for traders. They can easily find whether a forex robot shows good results for the last 15 years or 5 years and so on.