The use of binary options robots – “bots” – and other automated trading software and apps has grown exponentially over the past few years. Check out the top services 2020 and the list of things you as a user need to know and look out for, we also show you where to get a robot demo account to try out the service and teach you how to use automated trading software and tools.

The best automated trading service for you will be a different choice, so read on to get the full scoop.

Popular Robots and Auto Traders

How do auto trading robots work?

Robot software and auto trading algorithms combine signal services with automated trading, so the software will try to identify profitable trades and will automatically trade them. Actually – instead of leaving the trader free, these systems provide varying levels of risk management – from stop loss to daily spending limit.

There is also a growing trend for brokers to provide their traders with the ability to configure ‘bots’ or automated trading systems, these tend to simplify the process by leaving indicators. Technically “drag and drop” into their system, the best bespoke robot features also allow traders to operate their robot on a demo account to try it out risk-free.

Brokers are keen to promote robots because they generate higher trading volume and reduce the risk to the broker, they can be a great tool for traders too. But in binary options – as always, any promise of profit is an instant ‘red flag’. Robots require a thorough understanding before use and these robots are not a guaranteed path to profit.

Will robots make you a better trader?

Sometimes trading robots are as volatile as other trading methods. Similarly, the settings in which the robot is used may be less efficient. This will increase (or more) over time, so they will need to be constantly monitored for effectiveness.

Automated trading undoubtedly increases risk – and binary options are already high risk investment vehicles, but unmetered automated bots can work through particularly large loss trades. Especially where news events affect the market, events that could cause traffickers to back out of the market will not stop automated robots.

This extra risk can be managed to some extent, many robots have daily loss limits and overall limits, they can also be set to stop if a certain level of profit is reached, traders must be aware of the pitfalls. Miss all and treat bots with respect.

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Binary Bot from Binary.com

Binary.com Offers Facility To Design And Implement Auto Trading Robots For advanced traders, Binary.com now offers ‘advanced platforms’, one of which includes the Binary bot platform (screenshot). below)

The platform allows traders to put together an automated trading system, as one would expect from this company, this feature offers more depth than some of its competitors – again attracting advanced users. There are more options than others, this process allows for an added level of sophistication allowing users to be more specific about their trade ‘triggers’.

Binary Bot follows the unique look and feel of Binary.com, the visual ‘fluff’ has been trimmed back and replaced with more features and functionality – typical of the brand. platform to check Binary.com

Other automated trading software

Automated trading software requires small elements to set up, but once it’s done – as the name suggests – the trading is automated.This form of trading is generally similar to robot services. Set up the software based on the type of trading they are interested in, thus their investment level, type of trading asset and risk level.

Signals – Required for automated trading

Signals and automated trading are theoretically similar, the difference is that when an automated trading software detects a signal based on data analysis, it opens a trade, the signal provider highlights trading opportunities. Instead, it opens up real trading to its users.

Based on the algorithms used, the automated software generates signals and opens and closes trades based on those algorithms.

Copy another trader

There is also a service that will allow trades to be opened based on real life Binary Options Traders, providers will offer live traders lists and publish results, platform users can decide to copy traders. Those – Choose the level of risk and investment to suit their own needs. This kind of “almost auto trading” is known as copy trading.

Robots and Automated Trading Scams

This kind of automated trading is fraught with dangers, if traders manipulate their trades, the level of risk increases dramatically, our scam page details the red flags to look for. But auto trading in particular attracts a lot of fraudulent operations, here are some of the reasons:

  • Novice Traders – Automated trading software is often aimed at beginner traders or those who don’t have the time or knowledge to trade themselves, this group can be more misleading and they have a goal.
  • It’s easy to blame traders – link to the first point, just dishonest service providers. But say the software is misused so it’s not a fault.
  • Control – If a trader lets someone else control their trades, it is very easy to say that the money is losing trades.

Scam warnings include a lack of transparency. (unverified results) force users to use a particular broker and the most obvious one – promises of guarantees or very high profits, if it were easy everyone would tread carefully if dealing with traders. Automatic. The risk of fraud is high.