Forex trading applications are available in abundance these days. A simple method to verify the above statement in to navigate to your computer’s web browser, open Google and search for the term “ Forex trading software” or “Forex trading robot”. You would be greeted by a plethora of search results; all referring to some sort of assistance regarding the topic in question. Perhaps, overwhelmed by the extent of the search results in such massive numbers, one might be forced to think the Forex trading robots as a better alternative to human mind. But in reality, the facts might or might not indicate towards the opposite direction.
In what is to follow, we shall discuss a few pros and cons of the human mind with respect to the Forex trading software in a general perspective. Don’t be utterly surprised if the analysis ends up in citing the human mind way too ahead than its virtual counterpart because in the long run, and considering the nature of the nosiness itself, it’s the human mind that would always emerge as the winner in most cases.
In an attempt to start peeking into the two factors in contention, let’s first begin with the Forex trading robots. Forex trading robots (also sometimes referred to as Forex trading software) are virtual minds that run on a computer, and do the bulk of the thinking and forecasting on behalf of the user. Such tools can be good for the reason that they tale the ‘emotion’ factor completely out of the equation while calculating/anticipating the market situation. Being carried away emotionally is so naturally associated with the human beings, and when it comes to thinking in a Forex trading environment, things are not all that different. Well, beneficial as it may sound, the concept isn’t all too practical in reality. The main reason behind it is the constantly changing market situation. No two consecutive moments are same in the Forex trading structure.
In this context, thinking of relying on a mechanism based solely on artificial intelligence is akin to handing your cards over to the opposition to help you with your next call. Even with that in mind, most traders are often conned into the false claims of Forex trading robots simply for the reason that they are known to be running of the modern-day computers that are capable of achieving whatever a normal human being can. On top of that, the highly attractive screenshots on the websites of these solutions that portray the robots as the ‘ultimate tool for your success’ can lure the best of the traders towards trying out the Forex trading applications at least once. Yes, these tools, for the most part, can bring in a few welcome results, but when it comes to relying on them for rather prolonged periods and under a dynamic environment as that of a Forex trading business, things would simply not work. The fault lies not in the way in which these applications are developed, but in the fact that there is no such algorithm or calculation method that can help an artificial intelligence to predict the prospects of a Forex trading business.
Now shift our focus on the nature-oriented counterpart of the mechanism, and see as to what possibilities the human mind holds as compared to the Forex trading robots. There is little doubt that in order to accurately predict in the Forex trading environment, one needs sound logical thinking, constant overview of the market situation, thorough research, and most important of them all, an ever-so-inevitable factor of risk-taking. All these attributes are too hard to incorporate into an application based on mere artificial intelligence, let alone making it work as desired. The complexities involved in correctly interpreting the currency pair’s price either through buying, selling or by avoiding any undue risks for the time being can only be handled properly by the human mind. There is little logic in resorting to an artificial intelligence-based system that has been created by man himself, and that too, for a purpose that cannot be achieved via mere mathematical interpretations.
A computer may be good only in situations where forecasting based along the lines of a constant work environment is intended, but not in scenarios such as Forex trading analysis. In order to succeed in the Forex trading arena, you need to have sound reasoning abilities, ample knowledge of the market trends, and loads of experience under your belt; experience that could be gained by sifting through the online reviews of some of the most successful players of the game, or that of your own. In short, while pinning your hopes entirely on a computing tool is a futile exercise, thinking yourself alone as the master of the trade, too, can prove to be your downfall. A rather ideal approach would be to keep a close tab on the price movements, skillfully gage the market trends, and based on your intuition and experience, make your decisions.Tags: forex trading business, automated forex trading, Business Finance