The types and features of trading robots. First, we need to break down trading robots into basic types. Here we go!
Usually the most frequently chosen ones, among others. This is a high-frequency robot that trades with the "Scalping" strategy and makes several dozens or even hundreds of trades per day, all depending on your algorithm setting. Traders choose this type of robot for the possibility of a large automatic number of deals execution. You can't do it by hand. As a rule, this type of robot has a small take profit and a small stop loss, and earns by the number of positions. Typical timeframe used is 5/30 minutes.
This is not exactly an automatic type of robot, because they work in the sidewall (flute), and the corridor is selected by the trader manually. This type of robots works in a certain price corridor determined by oscillator class indicators. Like scalping robots, they usually have short take and stop orders. And the timeframe is from 10 minutes to one hour Trend robots. It's already a more long-term type of robots. The basis for opening deals is the determination of the trend (usually using indicators such as SMA, SMMA, EMA, LWMA) and other indicators that help to determine the more medium-term direction of the price. The size of orders is already longer than the previous types, and the position can be kept open for several weeks. Another subspecies - counter-trend robots, these are robots that trade against the trend or on price reversals, a kind of swing trading. The timeframe is from an hour / three to a week.
The most difficult to configure and expensive kind of robots. As a rule, a single Expert Advisor tracks several interconnected currencies or currency pairs and either opens the same positions on the pairs with a direct correlation, or hedges positions, opening positions on the pairs with a reverse correlation (for more details, see the article "Forex Arbitration or Currency Pairs Correlation").
Martingale Robots or Averaging Robots
This type of robots is traded on Martingale strategy. The robot adds volume to the position, if the price went against you and so until you go to the plus or "kill" the deposit to zero, in fact, this is an automated type of strategy Martingale Forex. And the most high-risk type of robots, I highly recommend not to use them in the main real account. Although, for the sake of interest, you can put into an account of 10/20 dollars and see what happens.
The most controversial species among the others. The system of such robot monitors quotes of several banks/brokers at once and searches for price gaps, for opening positions and earning on difference of quotes from different suppliers. Manually tracking this is quite difficult. This type of robot does not use indicators or technical analysis, but only differences in prices. But you need to be careful, because, firstly, this type of trading is prohibited in the regulations of operations of many brokers, and secondly, the Internet is full of swindlers who offer to buy such "super-earning" robots, although in fact it is some kind of forks at sports rates.
The settings of such a robot usually contain data on some economic indicators. It can be an interest rate, unemployment data, new housing construction/sales, or the number of jobs. In general, the most volatile and strong news on the market. And, following the predicted expected/actual indicator, the robot will open a long or short position (it is not necessary to score all the indicators from the calendar with your hands, you can simply set the robot to break through a level or price corridor, to the time of release of certain news).
Indicative and Indicator-less robots
Indication-free robots are something similar to robots of Martingale, they do not use indicators or technical analysis, and work at strong support / resistance levels or action price (trading on a blank chart without any indicators, here you can see information on the strategy "Sniper", they are in some ways similar), coupled with a candlestick analysis of the chart.
Indicator robots, on the contrary, usually use technical indicators of trend indicators like the following:
Bollinger Bands. Parabolic SAR. Ishimoku. Mobile Average and others.
Positions are opened when the indicator shows a predetermined value.
Robot trading parameters.
And lastly, let's look at the key parameters that affect the robot.
Trade - the parameter of on/off the robot. Lot/lot size - this parameter specifies the lot opened by the robot. Risk - the size of the allowed drawdown for the position that will be opened. Magic Number - the certain number for each position so that the robot doesn't confuse its automatic positions with your manually opened ones. GMTOffset - a parameter that distinguishes your local time from GMT (London). Slippage - the parameter that indicates the allowed slippage.