When investing in financial markets, traders do not always make decisions themselves. To improve the results of binary trading, many companies create trading robots that make trading decisions according to a pre-developed algorithm.
Robots help the trader to eliminate completely emotional factors that can negatively affect the result. Often, binary options traders simply control the robots themselves. In this article, we will discuss automated binary options trading and what trading robots are.
What is automated options trading?
Automated trading is a comprehensive solution for trading positions, adopted automatically by the software. The opening and closing of trades is done by the binary robot itself. The decision-making algorithm can be very different. It depends on the strategy, deposit, risk and other basic indicators.
Often, robots are divided into several types. Robots that themselves conduct trades and calculate risks, select assets, as well as make transactions. The second type of robots must be controlled and the trader makes a decision based on the indications of the automatic trading system.
The right settings bring high results and allow the trader to trade on many instruments at the same time.
In simple words, a binary options robot is an automatic program that trades binary options automatically online.
How the Binary Options Robot Works
Binary options robots work on binary strategies. Parameters are entered into the program for decision-making, after which the robot makes a deal. Parameters for money management and risk management are also entered into the binary robot. Usually, these values are expressed as a percentage, which allows you to adapt trades for different deposits.
To execute trades, the robot integrates with the trading platform. When trading binary options, the trader’s information is closed, and the robot cannot obtain personal data, but only details of transactions. This makes trading safer.
The software works with the help of a complex algorithm for trading, comparing a large amount of data from previous years.
There is also a division of binary robots into advisors and a robot that opens positions. There is no big difference in decision-making, the only difference is that trades with the robot are opened automatically, and with a binary options advisor you will only receive a signal.
How Much Does a Binary Options Robot Make
A binary options robot, if it is a good robot, earns between 70% and 96%. 96% are trader-controlled robots. They are used in investment institutions and require extensive maintenance.
When they talk about interest, they mean the number of positive transactions. If it is written that the robot brings 80%, it means that out of 100 trades, 80 made a profit.
Therefore, the amount of earnings depends on the deposit and on the minimum bet, during automatic trading.
Advantages of binary robots
Binary options robots have many advantages that allow you to earn. Automated trading does not require the trader to be near the Internet. The robot trades always, This increases the number of trades.
- Automatic money management. It happens quickly. The computer calculates faster than the trader and cannot make a mistake. The maximum level of losses is determined, so the robot cannot lose the entire deposit.
- Decision-making takes place without the influence of human factors: emotions and state, so transactions are opened exclusively according to the strategy, which increases efficiency.
- Complex decision-making, which is not possible for a person to do. A trader cannot process so much information.
- No knowledge or experience required. The ability to make a profit without having knowledge.
- High payout percentage.
Disadvantages of binary robots
Among the many robots, there are simple programs written by programmers. Without any knowledge of economics or trading. This is done from a binary robot, a simple program that will not bring results, but only lose money.
To do this, you need to use only proven binary options robots.
Which broker do binary options robots work with?
Many trading platforms, like spot, work only with proven robots and require certain standards from the broker. Basically, we found robots that work with all platforms. However, it is best to connect automated trading to their recommended binary options brokers.
Inference:
The main thing to remember is that robots do not always earn, just like traders. Therefore, when starting and connecting to automated trading, you need to do a test and decide on a working deposit. After making a deposit, follow the results of the robot, so you can draw the right conclusion about the robot’s payouts.
By choosing a binary options robot, the trader will have the opportunity to learn and see the results. This will allow you to earn “passively”. If you are going to become a professional and need initial capital, a binary robot is the right decision.
Tagged with: Automated options trading • Binary Options Robots
