Greeting, this is a FAQ that people ask frequency about how to use Forex EA(Expert Advisor) that I found on interne and answer that I try to gather knowledge from many place.
As always it’s not financial advice. Trade with your own risk.
Hope the article can help you trade better with EA.
· Should you use VPS(virtual private server) ?
o Yes , definitely VPS is a must. Try to use the best VPS you can afford. Here good article about how to set it up https://forexboat.com/vpssetup/ . If you not use to this stuff maybe hire expert to help out.
· Should I restart and update the VPS often. ?
o Yes, you should do it every week if no open order in your port. Cause don’t restart and update for long time sometime the program will force you to do it during the trade which is not recommended.
· Sometime I feel the trading slow and have a lot of down time , what should I do.
· What kind of account should i use. ?
o The high speed and low commission account of any trusted broker should be fine. You should always ask broker that it around Hedging , martingale or Grid or not, if not you should consider carefully. Here some info that might benefit you http://www.forex-central.net/broker-comparison.php
· How do you manage your balance each month ?
o Every month if you get a profit you should withdraw half of it and use it for other purpose. This technique is called rebalancing. It can help reduce a risk too.
· How often should you optimize and back-test ?
o At least I will do optimization and Back-test of EA every 2-3 month , if you up to it then do it every month. I will also do optimization every 1-3 month then will tell you guys about the value too.
· Why I saw the EA performance good in Backtest or other kind of test but when I use it. The result not the same.
o There many factor involve trading Forex such as speed of your VPS , how you set up the EA , how you set up your MT4 and many others factor include you should have some technical knowledge on how to use EA too, it’s not all done for you. As you can see there many factor that effect the trade. If you feel uncertain how you should use EA you show try it with small account as the EA recommend first before go for a big money.
· How much should I expect from Trading with EA.
o Expectation around 10-30 % APY(Annual Percentage Yield) is reasonable. The high return come high risk.