A lot of traders in forex trading are using an Expert Advisor, but what is an Expert Advisor exactly? How can I use it?
Let’s answer that question in this article so you can see how to get advantage of it.
What is an Expert Advisor in Forex?
An Expert Advisor is a software or piece of code which can be integrated
It’s an important tool to have when using an Expert Advisor is the MT4 or MT5. For instance, an Expert Advisor can be integrated only with the Metatrader because based and developed with the same language called MetaQuotes Language Version 4.
In forex, an Expert Advisor in can be used in 2 different ways:
- to analyse the graphics
- to trade automatically
Both ways are useful for a trader, it depends just on the forex trading strategy. If a person trusts an automatic approach to trade or prefers to have everything fully under control.
Why are Traders Using Expert Advisors?
As mentioned before, every day new traders are using an Expert Advisor in their investments.
But why are Expert Advisors so popular in Forex Trading?
The answer is very simple. Just think at how much time is required to do a full technical and chart analysis. Analysis needs to be done in order to understand which time and where is the best to invest.
For novice traders, forming a proper analysis is not an easy job and it can lead to mistakes. That’s why software can help guide traders and aid them with their trading decisions.
To sum it up, below are the main reasons why it is a good idea to use an Expert Advisor:
- in order to save time
- to avoid mistakes
- for a trader to have better results
Where Can I Find an Expert Advisor?
Today it is possible to find Expert Advisors everywhere on the internet. There are many private companies or professional traders offering their own products.
Even on social media platforms like Facebook or Instagram, it is possible to get in touch with some EA providers.
What’s important is to choose the right product from the right people. Usually, if a company or a single trader is clear and transparent about its product, they should publish the results or give a trial period.
Does an Expert Advisor Cost?
Expert Advisors have different ranges of prices and different types of purchase methods.
It’s possible to buy an Expert Advisor through the following plans:
- by monthly payments
- by single initial payment
Regarding the price, it depends a lot of the EA performance, if it does the only chart analysis or the automatic trade is implemented too, finally it depends on how technical is the analysis provided.
Depending on these factors it’s possible to find an EA costing more than $1000 or only $99.
How to Install an Expert Advisor With a Trading Account
The first thing to have before using an Expert Advisor in Forex is to have a Metatrader real trading account.
As mentioned above every Expert Advisor is developed in the same MT4 or MT5 language.
Finally the integration is not so difficult. Here are the steps to follow:
- Create or download an EA and save it on your computer.
- Select and copy the EA file you want to install.
- Look for the MetaTrader4 folder in the C: drive.
- Paste the files into the ‘Experts’ folder.
A pop-uprequesting admin permission may appear, if so just click Continue.
- Launch your MT4 platform.
- Look for the Expert Advisors section under the Navigator panel on the left side of the platform.
- Click on the ‘Plus‘ sign and the available Expert Advisors should be listed there.
- Click on the EA you want to install and drag it onto one of the charts on your platform.
- A pop-up box will appear showing the settings of your EA.
- Make sure that all the settings and alerts are correct before clicking OK.
To conclude there are many benefits to using an EA software, mainly that it can trade on your behalf even if you’re at work or sleeping. The software, unlike a human, can also carry out much more analysis than any person could. Plus there is the benefit that Expert Advisor software doesn’t make trades based on emotions like a human would. The trades are based purely on chart analysis.
It’s important to remember that with EA it’s harder to tell whether the software will help you achieve actual profits or not. So you must make your own mind up if the software is something that will suit your trading needs or not, as well as following some of the tips in this article.
To find the best Expert Advisor for you, do your research and check to see whether it can connect to your platform.