Advantages and disadvantages of AOS
The use of trading robots understandably has its advocates in the AlgoTrading community, as well as outright opponents who refuse to entrust their hard-earned money to a jumble of ones and zeros. Let's take a look at the pros and cons of using AOS.
Unlike humans, robots are tireless workers. So while a human who is exposed to the markets for too long will start to make mistakes over time, an AOS can trade constantly. Unless the markets are closed or you lack the necessary capital. Similarly, it is possible to run multiple robots in multiple markets at the same time, if you dare and have your robots properly tested.
As we have already mentioned, automated trading systems are actually algorithmically functioning sets of rules and actions written using programming code. As long as the code used to write them is error-free and the parameters you specify are also error-free, the trading robot cannot make a mistake. Thus, there is no overclicking or not noticing a certain price level. In case what the robot has been instructed to trade in way A appears on the chart, it will trade it in way A. If not, you need to look for a bug in the settings or the code itself, i.e. on your side.
Complexity and errors at the code level
It takes barely a few minutes to find and download a trading robot these days. It's just that none of the robots available like this are designed in such a way that you just download, install and turn it on. You need to set it up to trade in your chosen market, test it and then run it. However, if there is something wrong with the robot at the code level and you do not have the necessary programming minimum, you are at a dead end. We are not saying that you need to know how to program to use AOS, but you need to know certain essentials before you can run AOS.
Analysis of fundamentals
Not all trading instruments can be traded using technical analysis, in fact we do not even recommend it. Every trader should have at least a basic understanding of the most important macroeconomic indicators and their impact on the markets. This is for one simple reason - trading robots do not have it. While technical analysis relies on statistical data, which Algotrading programs "group" without problems, economic reports, central bank meetings and other pillars of fundamental analysis, their algorithms cannot handle.