First and foremost you have to be aware that when dealing with forex from an income generation or speculation point of view the process can be risky, and you can stand to lose money, whether you engage in manual or even automated trade forex.
Therefore you would do well to at the very least learn the basics in and around the market, so that you can understand the terminology and the processes that are employed within this increasingly popular potential income generation tactic.
Before going into the details of an automated trade forex and the system behind it, one has to understand what the point of trading foreign exchange is about, as well as some of the key facts and figures about this market. Firstly, a common statistic is that over 90 percent of people trading actually lose their money, hence the warning about familiarizing yourself with this process. Additionally the value of the foreign exchange industry is well into the trillions, which does indeed represent a value added opportunity for you to be able to make money, even if you are aiming for a fraction of a percentage of that action.
The process of trading within any foreign exchange market and or currency is basically the buying and selling of a defined currency, in order to realize a profit, which one could say is the basis of any sound business practice. However there are certain factors that may affect a currency either positively or negatively, these factors are at times picked up by analysts and conveyed to their clientele in what is known as signals. These signals can make or break your trading career, depending on the viability, as well as the success ratio of the providers.
When it comes to automated trade forex, one is literally working with what is known as a robot or bot, for short. Here the specifically designed software is pre-programmed to trade, on your behalf, and based upon specific signals that are put into the program as a set of parameters for the software to act upon. In simple terms these can be items such as set sop losses, or even gains, at which point the software will either buy or sell currency accordingly.
One of the benefits that are inherent in the program that supplies the process for automated trade forex is that it is not partial to human emotions and factors. This includes the fact that it does not sleep or eat and can literally work non stop, as long as the settings have been accordingly provided, and as long as the markets are open.
To implement an automated trade forex system, you will have to basically select a strategy that suits your risk profile, which can be from conservative to aggressive. This can be done according to the selection of a suitable expert advisor that suits this profile. In order to get the most out of your automated trade forex career and objectives in realizing a positive return on your investment in the system, as well as your invested funds.