Robot Trading vs Manual Trading

Day by day binary options trading is becoming more popular to the investors and traders alike. When it comes to binary trading there are two options, trade using a robot which is also known as the Auto Trading and other one is the Manual Trading. Many questions arise about which one you should go for. What are the advantages and disadvantages of each? If you want to compare them, which facts should you consider? Find all about robot trading and auto trading in this traders report.

Robot Trading aka Auto Trading:

When a trader invests and lets a robot do the work for him/her it is called as robot trading or auto trading. The robot is an intelligent software which is responsible for calculating the trends in split seconds of time and place the investment on a calculated moment of opportunity. If you use a robot you only have to invest and then let the robot handle rest of the transactions.

Advantages of Robot Trading:

No Experience Needed:
The best advantage of using a robot is that you don’t need any experience in binary options trading before starting your first investment. All you have to do is invest money on a safe and reputed robot and a broker. While other traders are busy devising strategies and analyzing markets, you don’t have to worry about doing any

Robot Trading vs Manual Trading
Which is better?

of the ground works. It will save lots of time and also save you the trouble to learn about the specifics trends if you are an occasional trader.

Minimized Risk:
With a robot you can stay risk free and invest without any worries. The robot will constantly analyze the trends and calculate the risk before trading. The robot will not trade on an unstable market no matter what happens. It will only invest your hard working money when there is a good chance of receiving profit. Of course these variables all depend on the robot’s algorithms set by the Auto Trading Software in question.

Never Miss the Perfect Moment:
It is not possible for any single person to look at trends all day long. You have got to eat, sleep, go outside and most importantly spend time with your family and friends. But markets never rests and you can miss some great opportunities if you are not around to make that profiting investment. But a a robot trading software can constantly check market for the perfect moment to strike so you will not miss a great chance to turn your money into a safe and huge profits.

No Emotions:
When it comes to robot trading no emotions are attached while trading. Sometime emotions drives you to become fearless and trade emotionally which can put you at a loss. A robot trading software will never trade with emotions because it does not have any and only put a trade when it has a great chance to return with a profit.

Less Pressure on Your Mind:
If you trade using a robot there is no reason to be stressed about your trades. The robot is handling every trade on behalf of you with a good chance to score the profit. It enables you to keep a fresh mind when other traders are going crazy to get an idea on current market tendency.

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Disadvantages of Robot Trading:

Can be a Loss Project:
If you are thinking about robot trading you must dig deep before choosing the right robot. There are lots of robot which do not work as they promise to. The program behind the robot might me faulty which may lead it not to locate market trends properly and putting trade where there is no chance for gaining a profit. You must choose a safe and reputed robot which has good reviews on it. Here is list of Binary Options Tested’s approved auto trading softwares.

Does not depend on News:
The robots are unable to know about the news related to exchange. A lot of the time news play a vital role in binary option trading. By listening to the current news events you can get an idea about market trends. But the robot trades on its own regardless what the news say which can increase of losing a trade.

Room for error:
Even though the robots are well known for their calculated risk before trading and power for analyzing market trends can still sometimes fail due to over optimization. So it may not guarantee you a profit every time.

Manual Trading:

Manual trading means that you are responsible for researching the market trend on your own and decide when to trade based on your own judgement. You have to work hard for manual trading but the outcome in return is very good.

Advantages of Manual Trading:

Experience is Key:
The more experience you have on binary options trading the more profit you can make using the manual trading. If you study trends for a really long time you will be able to make better decisions day by day. Once you get familiar with trading trends it should not be a problem for you to understand the best chance to make a great profit. For the experienced it is really easy to calculate the risk by themselves and get huge returns by making small investment.

Thinking outside the Box:
A human mind can often do such things which the robots are unable to do.(at least for now) A human instinct can be a huge plus for traders which the robots don’t have. Sometimes listening to your mind can bring you a large profit. Robots are bound to trade on a specific point only but with your mind you can go beyond that limit and be rewarded with gaining a profit.

Understanding the Psychology:
In manual trading you get the chance to read other traders’ minds. You can trade based on other traders’ psychology and understand the possible upcoming trends in market. It can save you from losing your money and also can reward you with a nice profit.

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Disadvantages of Manual Trading:

Can backfire easily:
The manual trading can backfire in really short time. If you fail to calculate the risk properly or cannot study the trends precisely you can lose on your positions quickly. It is destructive for you unless you are focused on the market and making a flawless strategy to trade at the perfect moment. Even simple mistakes can embark on a losing streak.

Not helpful for new traders:
It’s harder for new traders to do manual trading because it takes years for people to understand the market properly. Without experience you cannot expect to gain any profit on binary options trading using the manual trading method.

Emotions may ruin your investment:
Sometimes your emotion can be harmful for your trades. Emotions can force you to make wrong calculations. It can make you trade at wrong time. After a previous tiring or losing day it can affect your thinking for your next trading sessions. Trading emotionally can cause you to lose.

Robot trading vs Auto trading conclusion:

Overall both robot trading and manual trading can gain you profits. Both of them are good in their unique ways. But you must be really careful before making the choice on which road you want to walk on. In my opinion robot trading is safer for the new traders at a shorter time and manual trading is more profitable for the experienced traders over a long time. New and experienced traders can do hybrid trading which combines both elements.

BOT's Trusted Auto Traders: Ice 9 Technology BOT's Trusted Binary Brokers: OX Markets | Finpari

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Adeline B

Adeline B

Adeline is personal advisor for retail investors.
Adeline B

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