Quote:
Originally Posted by cogs  mitaji,
Some of the best advice I have seen posted on this forum. 
All so true. Totally agree. |
Does this mean we should stop looking at EA's, simply because you guys are sure they cant work?? Or is there still a posibility left.
I agree there is always a place for manual trading, and I constantly work to improve my own abilities. But, this doesnt mean I simply reject the possibilities of using an automated mechanical system. Your comments remind me of the traders who insist that only one style of trading works, (usually long term position trading, or even worse, long term value investing). All of these trading styles have their place, including automated systems.
All an automated system is, is a mechanical system on autopilot. And they have quickly shown the problems inherent in pure mechanical systems, and the main reason why I've never trusted or used a purely mechanical system. However, there is always a place for a mechanical aproach, and any mechanical aproach can be automated. What is needed is the discretion to choose when and where to apply such a mechanical system, and the ability to choose between different systems and different strategies for different circumstances. In time we may see programs that are capable of making these choices, and as such are capable of managing multiple EA's picking and choosing from among their strategies to find the best fit, and that are capable of applying complex trade managment strategies that are capable of adapting to changing environments.
As it is these are still very new and developmental. Improvements are showing up quickly. All the money being poured into this industry by the thousands of traders, who believe in the possibilities and potential of using a retail robot to trade their accounts is enormous, and in turn fuels a constant drive to improve the product.
There will always be problems inherent with automated trading robots, just as there will always be problems with trading any purely mechanical system. The market is simply not a purely mechanical entity. However, to simply dismiss or reject the possibilities is basicaly ignorant, the same as to believe without question. True belief, and true disbelief, are both opposite extremes of irrational ignorance generally fueled by subconscious dogma.