There are many pros and cons about using automated currency trading software (currency trading robots). This is not only happen among newbies, but also between expert traders. If you do some research, you might find that there are many of people who stated that they've scammed and lost a lot of money from the usage of such softwares. However, there are also people that claim they have great success with automated currency trading.

If you're a new guy in currency trading, you could be torn between "effortless profit" promises and what the conservative traders said. Let me reveal the truth: automated trading works. If some people state that they have been scammed and behaving like a victim, they didn’t do these before throwing their money on the line:

1. Evaluating the robot performance

It amazed me that people always eat up anything stated in the merchant web page and gladly put their money in the hand of an unknown software. You can find hundreds of forex robots out there and I dare to say that 90% of them are just garbage that can’t even generate 10% of the profits that they claim in their website; thus it is very likely that you came across one of these.

You can't really rely on backtest result; besides, they might be bogus. On the other hand, the real market will reveal the true potential of these expert advisors. Get a demo account in a MT4 forex broker that allows forex robot, rent a VPS, and test your robot there. "Why do I have to rent a VPS only for a demo account?" Basically, your robot can only work at its 100% capabilities if it goes online 24/5 without interruption. If you confident that your desktop PC can cope with that job, then go on and use it.

I would suggest to test it for around 2 month before you make any conclusion. It’s the limit of the guarantee period for the majority of them anyway. Indeed, this will demand patience; if you're hoping to buy your robot today and get rich the day after, you still live in a dream land and it’s time to wake up.

2. Giving the most effective environment for the robot to run at its maximum potential

Did you search as many info as you can about the robot? Did you read the manual carefully and find out what other users strategies in using the robot? Forex robots can’t run at its 100% if you just throw them to the market; they need specific conditions to run perfectly. These are a few things that you need to pay attention to:

• What’s the smallest account size for it? Some robots come with trading systems that extremely weak when applied in a mini size account, so pay attention to this issue.

• Have you put it in a decent broker? Scam brokerage will tackle your robot, but even some honest brokers could make your robot useless if they have issues with their connection stability.

• Just what currency pairs do you choose for your robot? Automated currency trading doesn’t mean you can just charge at any currency pair and gain profit from it. Forex robots are backed by a specific trading system that undoubtedly really strong in a certain currency pair and weak at others. You have to know what currency pair it is.

• Do you place it on a trusted VPS or only at your home PC? A forex robot that hosted in a home PC is more liable to disruptions that can hinder its effectiveness.

3. Learn the best setup for the robot

Similar to any other software, forex robots have their own settings that you can change at will. The default setting just isn't always the best choice given that they normally constructed to deal with many currency pairs. By researching and learning the most effective settings for a couple of particular currency pairs, you’ll get hold of a winning robot.

Automated currency trading is possible. The one that make it seems like a scam is people who still have "buy the robot and get rich tomorrow" concept in their mind. You have to devote some efforts and time to get yourself a real winning robot, but the end result will really worth it.