A Forex Trade Robot Can Open And Close The Gates To Forex Fortune

June 9, 2012 by Rudolf Boquiren  
Filed under Investment

By definition a robot is any machine programmed to perform actions that would normally be performed by human beings. Forex trade is the exchange of one currency for another in the attempt to profit from the relative values of the pair. Therefore a forex trade robot is a machine programmed to automatically exchange currencies at optimal rates.

Some tasks are suitable for robots to do and others are not. For example robots are very useful in making cars. They are proved to be more accurate, speedy and economical and when it comes to lifting sheets of metal and welding them in place. They are also able to play chess and defeat acknowledged chess masters.

With the advance of GPS navigating systems it is predicted that robots will soon be able to drive cars safely. Already they are used as auto pilots on aeroplanes. They also perform many household chores and are invaluable at opening and shutting gates.

Although a robot can play chess it cannot interact with another human being. The attempts by some companies to short cut their services to clients by installing a robotic answering machine behind a picture of a pretty girl with a microphone are disastrous.

They are unlikely to buy or use the product associated with the robotic girl. A complicated query that involves a personal problem and some emotion cannot be answered by an automated response. In fact, such a response will simply be counterproductive. It will not satisfy a client’s needs, and so annoy him that he will probably depart in a dudgeon.

Artificial intelligence may have mastered the art of chess but it has not yet cracked the code of human communication. Robots may smile, but the light of emotion does not come on. They do not read between the lines or turn their shoulder involuntarily, so communicating the sort of dislike that even the simplest human girl can do instinctively.

When thinking about automated forex trading one has to take into account the efficacy and the inadequacy of robots. Most successful traders will admit that emotions play a huge role in trading and advise that one needs to stick to a strategy in a disciplined way. Thus far a robot would seem to be the answer. It won’t get greedy and will stick to a strategy exactly. However, it will not react to the news of bombs raining down on New York, or an inexplicable political decision in Australia. It is no more infallible than a human being when it comes to reacting quickly to changing circumstances.

A forex trading robot is a tool, or implement, like a tractor. A successful farmer needs a tractor to complete many operations more efficiently than any human being can do. But the tractor cannot farm for itself because it cannot perform complex higher order thought operations. It cannot, for example, think about whether or not to invest in an implement that can make the difference between profit and loss.

Rudolf Boquiren tests leading commercial forex trade robot software on his Forex Robot Examiner website.

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