Nowadays, Forex Robots have been center of discussion and controversy, people are always stuck in the same questions: Do they really work? How can a robot make a man’s job? Will a robot be able to do a human job as well as we do?. In most areas the answer could be, no, robots can’t run a company, robots can’t interact well with people, can’t sing, cook, act or take decisions, among other things, but what robots can do, and probably even better than humans, is statistics and mathematics, and that’s what Forex market is all about.
The movements on this market are represented in charts and digits, and that’s what people analyze in order to make a good trade, they base their judgment, about buying or selling, on what happened and what could happen. This is also called trend following. This is more or less what an investor does when trading on Forex market: he chooses a chart to analyze, for example USD/EUR currency exchange chart, follows its trend, draw conclusions from it and based on his judgment makes a trade at an specific time in which he thinks he could buy that currency on its lowest price, then he redo the process, but this time, trying to sell the currency he just bought at a higher price at which he bought it to generate a profit.
That’s what a Forex market investor would basically do when trading, but obviously, influenced by his experience. Now, the question is: What would a robot do?, a robot would do the same analysis that the Forex market investor did, it would gather all the chart information and all the numbers, it would follow the trends and it would do the trade, but with some really important differences: it would do it faster, it would do it more accurately, but most important, it would do it based merely on numbers, not on emotions or guesses of what could happen, just numbers.
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