Building Automated Trading Strategies October 2018 | Page 37

CHAPTER-6: TRADING WITH EXPERT ADVISORS
(EAs)
An Expert Advisor or else an E.A. or else a Forex Robot is a set of
programmed analysis and techniques including indicators, special filters and
rules. Whenever all these tools agree upon forecasting the direction of a
trend, a trading order is automatically executed. The trades may be either
bullish or bearish aiming to trade any market conditions.
In general, we can distinguish automated trading into semi-automated trading
and fully automated trading systems:
▪
A semi-automatic system is able to execute automated orders while it
is continuously re-adjusted by a human programmer/analyst. This is
happening in order the system to fit the special conditions of any given
market. For example, in a day when the market is ranging with low
volatility and limited liquidity, the controller reduces the risk ratio and
the system becomes more risk-averse selecting only high-probable
trades.
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