Is Manual Trading Better Than Automated Trading? - page 4

 
whisperer:
:):) Come one - it can not be too big when it is manual Why do people think that manual is safer than automated : the risk is the same

Oh, but it can be BIG Big enough to kill my account

 

I prefer to automated trading over manual trading. Because I can't control my emotion in manual trading. So to me it is better to automate my trading strategy and keep updating with change of markets.

Of course a successful trader is far better than any Automated trading software. But the think most of us loss money in manual trading . I have heard from some traders , they started making profit when they started investing in different automated software leaving the manual trading.

Btw it can vary person to person. Of course if anything is not working for u , u have to find out what is the problem and where to make changes to turn a losing business to profitable.

 

I think that manual and automated trading are forever connected and both systems must always be aware of each other. IMO all automated systems once started as manual trading strategies. In terms of starting out in trading, the entry barriers of automated trading are much higher. Not all automated trading is equal. I guess for most people the most likely option to get into automated traded is through MetaTrader or NinjaTrader. MetaTrader being the favorite for most FX traders. I do not have any real statistics but I would guess that most volume from automated trading is done through customized FIX apis. The main advantages are speed of execution, control over execution venue and direct datacenter cross connect availability. And the main disadvantages are time, cost & complexity of implementation.

 

What is the volume traded with metatrader?

If we take into account that the volume traded with it is small compared to institutional volumes, the impact of metatrader trading is small too. And easy to control (in the last metatrader broker can turn the EA on and off whenever they want)

 

Manual trading has many advantages because EA doesn't know when there are big market news and to avoid the market but you do. I will give you an example how a manual trade was done in EURUSD before the FOMC statement last week so you will see exactly what I mean, https://www.ddmarkets.com/euro-dollar-and-the-fed-monetary-policy-meeting/

 

I prefer manual trading , Because we can control it well .In manual trading we can use different tools what we think are better . We can trade on news , technical analysis or on our own analysis. Manual trading makes us better day by day . Our skill improves as much we do practice on trading . We set or goals and try to get them with our personal efforts that are more safe than auto mated trading.

 
There are certainly many advantages in the automated trading ,as for instance the fact that the robot  will stick to a certain trading plan and won’t act irrationally being influenced by its emotions. Additionally EAs can monitor and take into consideration more information compared with a human being.
Nevertheless, I like manual trading more as I prefer to use my brain and the knowledge acquired. I love challenging myself and testing my discipline and psychology.
 
Pava:

Welcome my son, welcome to the machine

Where have you been?

It's alright we know where you've been

You've been in the pipeline, filling in time

Provided with toys and 'scouting for boys'

You brought a guitar to punish your ma

And you didn't like school, and you

Know you're nobody's fool

So welcome to the machine

Welcome my son, welcome to the machine

What did you dream?

It's alright we told you what to dream.

You dreamed of a big star

He played a mean guitar

He always ate in the steak bar

He loved to drive in his jaguar

So welcome to the machine

What a nice poem Pava :) I really enjoyed reading it.
I did not enter to the machine so far :) I do trade manually. Testing some robots and signals on Demo but not quite satisfied with the result. That’s why will stick to manual trading.
 
Greetings,
The both type of trading have pros and cons. It depending from the chosen model :)
Me personally - I am trading manually.