How To Know If You Should Use a Binary Options Robot
Binary options trading was not acknowledged as a separate trading market until relatively recently. Therefore, there is still a lot of disapproving and confusion when it comes to this method of trading. On the other hand, there are more and more of those who use it, or even switch from trading on other markets to trading binary options. In relation to that, new binary brokers keep appearing, as well as many innovations that facilitate binary trading. One of the fairly new concepts is automated trading, provided by numerous binary options robots available online. There are many disputes about using these robots, and we will discuss some reasons for and against their implementation in your trading.
The main advantage of binary options robots is that they remove all the emotional influence from the trading. It is a known fact that emotions involved in making a trading decision can hinder the trade and lead to huge losses. If you use a binary options robot, you are only to set the parameters, and the software performs the trading based on them and by following the signals it gets. The best binary options robots are not those that promise 90% or higher accuracy. As a matter of fact, they are most likely a scam. The best robots are those that generate the signals based on technical analysis, which is a reliable and acknowledged technique of making predictions about the market.
One of the main disadvantages of binary robots is that they are often represented as a tool which you should use if you do not have sufficient knowledge about trading binary options, but when you think of it – why would anyone risk money by doing something they know nothing about? Even when using binary robots, it is definitely recommended to be educated and informed about at least the basics of binary trading. Another bad side of binary robots is accuracy. Binary robots are still a relatively new concept, which means that they are most likely to receive signals which provide them with 60-75% of accuracy at best. Related to the accuracy is the fact that you sometimes have no enough control over your trades. It is important to find a robot which allows manual setting of as much parameters as possible, because if the robot’s accuracy is not high or it hits the losing streak, it can clear out your account in no time, leaving you with great loses. It is important to use a robot where you can set the maximum amount of money to lose per trading day, in order to protect yourself from great losses. Last, but not least, we need to mention that there are many scams related to binary options robots. Before signing up with a binary robot, it is advisable to double-check its credibility by reading reviews, other people’s experiences and search for the robot in the news, trying to spot whether they were accused for scam. You can find useful information and binary robot suggestions on http://top10binarydemo.com/review/banc-de-binary-demo-account/.