Those who are interested in gaining some amount of passive income are readily attracted to using forex robots also known as Forex EAs for trading profits without having to worry about the market conditions. Millions of forex traders whether beginner or veteran have earned a lot of money through these high-performance FX EAs. These expert advisors became extraordinarily popular with the rise of the MetaTrader electronic trading platform that utilises MQL to integrate external software. Traders choose one to trade with by researching best forex EAs reviews these days.
But unfortunately, there are many prominent scams out there waiting to steal money from traders through incapable Forex EAs. So here are 6 critical considerations to make while searching for the best forex EA for you.
Forex EA’s live duration
Checking how long has a particular forex EA been in the market and how long has it been used for trading is essential before you choose to go through the best forex EA reviews online. If any forex EA has been running live on a verified trading account for a long time, then it proves its credibility as well as the efficiency of its trading strategy. Anything less than 100 days of live trading is considered insufficient. Only the best forex EAs have more than 100 trading day count and a live trading account on MyFXBook.
Automated robot forex EAs employ various strategies already coded into their system by developers to trade in different scenarios and make profits for traders depending on their settings. Like every other piece of technology, forex EAs could malfunction due to an unforeseen technical issue in some rare cases. Considering this, a money-back policy makes more sense. Several forex EAs nowadays come with a 100% money-back guarantee meaning, a buyer could utilise the tool for 15, 30, or even 60 days but in case they are not satisfied with its performance they can get their money back.
Consistent monthly gains
The percentage of total gain provided by any particular forex EA is the most common way to assess whether it is dependable or just another hyped product. One thing which scam robot forex EAs cannot fake is their consistent performance over time in the forex market on a performance chart. This metric gives traders an insight into how the EA product works periodically. Evaluating a performance chart tells you if there has been an unusually large pips profit from a single trade bringing the total gains to a high point or whether a huge loss has been an influencing factor.
Reliable customer support
Working with a forex EA can be too much to handle at first if you have no prior experience of utilising automated strategies for trading forex. That is why before you make a purchase, you must ensure that you would receive help desk assistance even at odd hours of the night in case you need it. Most of the time, less experienced forex traders have issues when they attempt to install MetaTrader4 and set up their robot EA for the first time. At that point, it is critical to have reliable technical assistance by your side to handle the process and help to avoid frustration.
It is a critical factor considered by best forex EA reviews that helps forex traders understand the risk level of various strategies applied and coded into automated forex EAs. Drawdown means a decrease in the capital on a forex trading account which is caused by losing trades. A simple example would be if one loses 50% of their trading capital (say $1000) during a forex trade, it would need a 100% gain percentage to bring their balance (500$) back to their original trading capital. After recovering the loss, the difference between relative peak and trough in the capital would be 50%, hence the drawdown is 50%.
Convincing backtest results
Professionals know that backtesting is a critical aspect of developing a proper automated forex EA that proves in a way that a certain strategy is successful. The reason why backtesting strategies work is that professional strategies for traders who worked in the past would continue to be advantageous for traders in the future and deliver profit. Whenever you come across a backtesting result, it is important to check the modelling accuracy it was undertaken with. During backtesting, developers put in place certain parameters to a collection of FX pairs’ historical data. The analysis of backtesting results proves the performance over a fixed period.
Some of the best forex EA reviews follow a ranking system to evaluate the efficiency of every popular forex robot EA in the market. The ranking system criteria make it easy to figure out which of the automated forex EA is the best performing one.