How To Recognize The Best Forex EA
From the day it was intorduced in the forex trading world, many people have doubted Expert Advisor (AKA EA) ability to replace a human trader and the opinion seems to be true when the EAs are falling one after the other; nevertheless, people are still trying to find the best forex EA. What most people don’t know is an EA is just a MQL4 program which created with the ability to control trades by itself (usually by utilizing MetaTrader platform), so basically they are all come with similar capabilities.
How do they manage the trades? Like all software in the world do: executing a set of rules from its creator. In this case, the rules represent a trading system (you can check various forms of trading system at best trading system ). These rules are what matter if you’re looking for the best forex EA, but today’s market is full of scammers, so you need to be very careful and do a few things:
1. Is it backed up by 100% money back guarantee?
It is very important that the creators have faith in their own EA and not trying to do “sell and forget” to you. Nevertheless, you also must realize that most EA now are sold under certain marketing network that literally “force” them to offer the money back guarantee, so while the money back guarantee is a good sign, it is not a guarantee that you’ve got the best forex EA.
2. Test the EA performance on a demo account
Live test is absolute necessity to check how the EA works against the current market; you don’t want something that can only work in backtest.
With the 100% money back guarantee, usually you’ll have around 60 days or so to test it in a demo account. In this case, unless you have your own PC/laptop that on 24/5 to host it, you may have to rent a space in a VPS. Remember that have it run in a PC that keep turned on and off will greatly cut its performance. For the demo account, you can open $100,000 demo account at AvaFX; see why I recommend them at AvaFX review .
Don’t be rushing to measure the EA performance, watch it for at least 5 weeks before you decide anything. Based on my experience, there are EA that trade aggressively during the day (backed by scalper trading system), but there is also EA that wait patiently for higher profit opportunity. With the second type, you may have to wait for a few days before it makes its first trade.
Either way, if you see your balance grow at the end of the month, then it is a good sign. If you aren’t satisfy with the growth, you may want to test more aggressive settings and see how it turns out at the end of the second month. If your initial balance remains the same or even become even less, return the robot and get your money back.
Identifying the best forex EA is not something that can be done with one or two month testing. In case your EA really generate great result after 2 months testing, consider to continue the test or put it in a mini account and check how well it can adapt under different market condition. I suggest you check FAP Turbo – the review for the best EA recommendation.
