What is Automated Forex Trading

What is Automated Forex Trading: Clever yet Effective Technology

Why Forex trading?
This is probably one of the questions that you need a reasonable answer. There are hundreds of investments out there that you can prefer, but why go trading foreign currencies instead?

Automated Forex Trading

Automated Forex Trading

Forex investment is unique in various aspects.
 Its trading volume is relatively huge compared to other market.It has extreme liquidity or the capability of either buying or selling the currency without causing significant movement in the market price. It has the largest number and variety of traders.
 It is one of the markets that have long trading hours (24 hours each day, except during weekends.Trading locations are almost everywhere, not just in the United States or major cities of Europe.There are different factors that affect foreign exchange rate.

Automated Forex Trading

Automated Forex Trading

Another whooping fact that will make you excited to go on Forex trading: it has an average turnover in traditional foreign exchange market of around $1.88 trillion daily, according to the Triennial Central Bank Survey of the BIS (Bank for International Settlements). Here are the daily averages of turnover on the Forex market for the last 17 years:
      $500 billion (April 1989)
      $750 billion (April 1992)
      $1.18 trillion (April 1995)
      $1.48 trillion (April 1998)
      $1.16 trillion (April 2001)
      $1.88 trillion (April 2004)
From the figures alone, you will notice that the average trend of Forex turnover is increasing. It is estimated to reach as high as 2 to 3 trillion dollars within the next 8 to 10 years, if the number of traders around the world will continue to increase. As a matter of fact, everyone have the chance of getting a substantial slice of the Forex market wealth pie, especially that the Forex trading marketing is now on its automation process.

How Automated Forex Trading Works

Foreign exchange (forex) trading has become incredibly popular in recent years thanks to the ubiquity of online trading platforms and the 24-hour nature of the market. While many institutional investors rely on algorithmic trading, retail traders have only recently been able to harness the power of automated forex trading systems.
MetaTrader, TradeStation, and other applications have made it easy to write simple computer programs based on technical analysis rules. Advanced traders may also create their own trading systems in programming languages like Python or R.
For example, a trader may write a program that places a buy order for a currency pair when the 50-day moving average crosses above the 200-day moving average and places a sell order when the pair moves 50 pips higher. Many forex brokers let traders automatically run these programs to execute trades.

Pros and Cons of Automated Forex Trading

There are pros and cons to using automated forex trading systems rather than placing trades manually.
The biggest advantage of forex trading systems is that they take the emotion out of the process, which tends to reduce the behavioral finance biases that negatively impact investment decision making. Traders can also backtest a trading system to see how they perform based on past data, which can help them fine-tune their strategies before using real capital. And, of course, traders don’t need to be present to generate profits from these systems.

The downside is that successful automated forex trading systems can be difficult to develop. While backtesting may show positive results, past performance is never a guarantee of future results and many trading systems are over optimized—or curve fitting—for past results. Traders should exercise caution when buying “off the shelf” automated forex trading systems since they may be curve fit to the past and offer no or limited benefits for the future.

Using Automated Forex Trading Systems
Automated forex trading systems are a great way to get started in the world of quantitative finance. MetaTrader and other applications are free to use on demo accounts, which means that they can be a valuable way to practice building systems, backtesting them, and applying the concepts in practice by paper trading.
The best place to start is implementing techniques in a programmatic manner that you’re already using in live trading. For example, you may want breakouts from a prior reaction high, which is a concept that can be represented by scripting in languages like MQL. Traders may also use other platforms and scripting languages like TradeStation’s EasyLanguage or programming languages like Python and R.
It’s important to practice trading before committing real capital and to keep an eye on automated systems to ensure that they’re performing correctly. In addition, traders should be sure to build in money management and risk tolerance strategies to limit downside in the event that unexpected price action occurs—such as whipsaws. 

Through automated process, transactions can now be done in real time. Although manual systems have existed for quite some time now, it is difficult to achieve such benefit that the automated Forex system can offer to its traders. All of the trades can happen within a few milliseconds and can be a big plus for automated transactions against the manual system. In fact, there are problems that are addressed using automated Forex trading especially if the trader is losing a few times in a row that prevents him from making new trades. Such problem could be addressed using the automatic trading system.
With automated Forex trading, you will have a greater diversification. It means that you can trade in various markets in different time zones at a time. You can execute trades with traders from Singapore or London even it is already 12 midnight in the United States. This benefit allows you a multiple exchange model option. You can use varying trading models to evaluate short-term data. This means that you will be able to predict the trend for a shorter period of time, let us say from fifteen minutes to half an hour.
As previously mentioned, the Forex market is unique because of its extreme liquidity. This liquidity is increased when the market goes automated.
Risk management problems are solved through automated Forex trading. International checks, which are commonly used in making purchases on Forex market, are synchronized through automated technology. Since the transaction in an automated process is now on real time, there is a slim chance that the payments will be delayed, reducing the risk of non-payment by either parties. Although there are problems noted with the use of the automated system, it can be fixed through consistently-updated technologies.
With automated Forex trading market, the prediction of $2-3 trillion average daily turnover within the nest 8 to 10 years can be changed within the next 4 to 5 years. Given the quick yet efficient trades on varying time zones, automated Forex trading will now be among the existing lucrative business around the world.

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Building Affiliate Marketing Websites The Easy Way

Building Affiliate Marketing Websites The Easy Way

There are some myths in affiliate marketing, which attract a lot of people to it believing they are true. First is they think managing an online business is easy and second, they think that one can make a fortune through online marketing in an instant. Probably not even 10% of those who are into affiliate marketing became rich overnight. There may be some who fortunately achieved overwhelming success in just a short span of time after setting up an affiliate program, but not a majority of them can confidently say they only had luck. Anyone who is successful in this kind of business would say he worked hard to get to where he is right now. Success in affiliate marketing takes time and hard work, but it’s worth it.

Building Affiliate Marketing Websites

Building Affiliate Marketing Websites

If you are planning to start an affiliate program, one of the things you have to consider is having your own website, not just an ordinary website but a professional looking one. How do you build an affiliate marketing website? What are the easy steps to build one? First, you must have already decided on the theme or niche of your website. It would be better if you already have an idea what products or services to promote as this would help you plan the design and lay-out of your web pages. The next thing to do is to choose a domain name and get it hosted.

Building Affiliate Marketing Websites The Easy Way

Building Affiliate Marketing Websites The Easy Way

The domain name is a unique name used to label the actual address of your website on the Internet.  In deciding what domain name to register, look into the type of products you are endorsing and the theme of your site. Having the right keywords in your domain name would give you better chances of drawing more visitors to your website. Also, choose a top level domain or extension, such as .com because it is more popular. In selecting your web host, consider the security of servers and up time guarantees.

Now, you can start creating your web pages. Don’t be disheartened when you know a little in this field. There are page generation tools and fast launch sites available online; you just have to search for them. Countless online sources could help you build an affiliate marketing website, though you might need time to study and learn the whole process.

This is one of the reasons why your site or the products you are going to promote must match your interest. Building your marketing website for the first time would be a lot more fun if you know very well the theme of your site. If you don’t have time to make your own website, you can use templates or purchase readily available websites. The latter, however, is a more expensive option.

Building Affiliate Marketing Websites The Easy Way

Building Affiliate Marketing Websites The Easy Way

Creating an affiliate website on your own would be cheaper and more interesting. In the process of building your website, you may also increase your knowledge in Information Technology and the use of computers, software’s and the Internet. As you educate yourself in these fields, you are increasing your advantage against other affiliate marketers.

It helps a lot, though, if you already know the basics in web page development like programming languages and graphics software’s because you can make your site extra corporate-looking, more convenient to use or easier to navigate. Furthermore, if you are knowledgeable and skillful in this area, you can already concentrate more on the content of the page rather than the design.

The key to draw visitors to your website is to have high quality content; thus, the next thing you must pay attention to in building your marketing website is this. There may be several other factors that contribute to the success of your affiliate marketing site, but a good content tops the list. This is precisely the reason why users choose to enter your site. They want to get information and so when they don’t find it, they would definitely go elsewhere.

Write interesting articles related to your theme as this would make them frequent your site. If you have already looked for affiliate programs that complement your site, add links to the business sites and other very good informative sites. Links contribute to how well you will be listed in major search engines as well. Also, create pages for the products you are endorsing, but don’t just promote the products by putting hyped-up ads. Keep your readers interested by injecting lots of relevant and useful information. This would make them click the link to the business site and buy the product. Remember that no good content means no frequent visitors, no sales and ultimately, no commission.

Make your site simple yet not without a touch of class in order to make it appear more of a business website rather than a personal website. This would be pleasing to the eyes and more interesting to browse. To help you with the design, you can check some successful online stores to get an idea on how you can make your site look better. Make sure you don’t place too many banner ads since these could distract some site users; and thus, instead of clicking your ad, they might just leave your site and look for other interesting websites. After all, banner ads are not the only means of advertising your products. Now your website is complete, submit its URL to major search engines to increase your traffic.

Grow from where you started. Learn about use of keywords for search engine optimization and apply them in your content. Update your site regularly or add new web pages. Make sure to inform your prospects about the latest updates in your site. You can use newsletters to accomplish this. The Internet offers a huge source of information about just anything, make use of it. Continue to educate yourself on how to improve your website and soon you’ll find yourself successful in affiliate marketing.

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