Legit trading bots: reality or fantasy?

[Golden Phoenix]

I've read a lot of reviews about trading bots, be it for Forex, Binary options or Crypto trading. Sadly, most of them are scam. My question is: is there "legit" trading bot out there? Thanks in advance.

 

[Dr. Profit]

I've been trading for a year and a half.

I would say - no, not really.

The closest thing you'll find is grid trading, but that still takes some hands-on management. I'm just now beginning to learn about it - not sure if I'm allowed to post links to the resources I'm using (not mine - I don't make money or pay money for them or work for the guy who sent them to me).

However, finding a strategy that works for you, and making some spreadsheets can make it a lot more hands off.

I went from 16+ hours a day to about 10 minutes a day managing my trades, and make more now than I used to.

Still don't see how a bot would automate it - 80% of the time I follow the strategy (which could be automated) but a bot's not going to know why or when to break it the other 20% of the time.

What could work is using a bot to automate different parts of the market cycle, and have it alert you when conditions change. So you're uptrend bot, downtrend bot, consolidation bot... you're still the human piece in the equation to flip strategies on or off when you find appropriate, but that would be once every day days or weeks (trading on daily charts) rather than every day.

 

[Golden Phoenix]

Thank you for your detailed explanation . If I may ask what kind of trading do you do? Forex or Binary?

 

[Dr. Profit]

Crypto primarily - just the major pairs on an exchange with a full set of features (not the typical long something on binance and hope it moons crypto trading), but am planning to start grid trading on forex soon.

Was interested in bots, but it didn't seem like anyone was turning a consistent profit with them except the guy selling the bot. 2017 was a different story, since you could have the worst bot ever and still turn a huge profit because everything was in a bubble.

 

[kikmebiz]

Been trading Forex for 3 years now, tried many robots, all scams, the only reliable trading bot you will find is YOURSELF!

 

[Dr. Profit]

This guy knows what's up.

Any strategies you like in particular? You've got a lot of experience if its been three years.

 

[Golden Phoenix]

Thank you for your replies guys.

The thing is, currently there's a ongoing fierce promotion about a deep learning Forex bot in my country. They promote it on two NATIONAL TV and numerous private-based TVs. They claim the bot could give MINIMUM of 45% return in just ONE WEEK, now imagine that! The cost of the bot is about 12,000 USD. I don't know how, but they sure had the galls to promote it on a national level.

 

[Dr. Profit]

Sounds legit

 

[jamie3000]

Scam 99% of the time.

 

[lewo]

The bots available to buy are scams in my opinion. The only bots that work are the high frequency trading ones developed using sophisticated algorithms that have been trained with ridiculously sized data sets

 

[JackTheRooster]

Crypto primarily - just the major pairs on an exchange with a full set of features (not the typical long something on binance and hope it moons crypto trading), but am planning to start grid trading on forex soon.

Was interested in bots, but it didn't seem like anyone was turning a consistent profit with them except the guy selling the bot. 2017 was a different story, since you could have the worst bot ever and still turn a huge profit because everything was in a bubble.

I'd say evem

I've been trading for a year and a half.

I would say - no, not really.

The closest thing you'll find is grid trading, but that still takes some hands-on management. I'm just now beginning to learn about it - not sure if I'm allowed to post links to the resources I'm using (not mine - I don't make money or pay money for them or work for the guy who sent them to me).

However, finding a strategy that works for you, and making some spreadsheets can make it a lot more hands off.

I went from 16+ hours a day to about 10 minutes a day managing my trades, and make more now than I used to.

Still don't see how a bot would automate it - 80% of the time I follow the strategy (which could be automated) but a bot's not going to know why or when to break it the other 20% of the time.

What could work is using a bot to automate different parts of the market cycle, and have it alert you when conditions change. So you're uptrend bot, downtrend bot, consolidation bot... you're still the human piece in the equation to flip strategies on or off when you find appropriate, but that would be once every day days or weeks (trading on daily charts) rather than every day.

I'd say you could figure out and rationalize when you're breaking the rule, and automate even that. You'll have to log why you're doing what you're doing so you can find a pattern.

 

[Tagerinsta]

i don't think you can make a bot do everything 100% , i think what the benefits of the bot is when you already Have working strategy and you want to take a chance of every market change that meet your strategy requirement , aslo the bot will help you to remove your emotions because from my experience the most loses happen when you have fear and emotions involve in your decisions

 

[Flacko]

If there was any legitimate ones we would all be rich

 

[boldrack]

Actually there are such bot .. but 99.9% are private .. it uses Deep learning with various algorithm to make decision.
An example of such bot (crypto) i've witnessed and worked (development) with is based on the bitmex market (XBTUSD) ..

 

[aky004]

The only one that goes on the + over the years are from multi million dollar company backed by giants in the field.

 

[Dr. Profit]

Possibly, but at that point you're taking so many conditions into account that it's not worth the time to create a bot that advanced.

Take crypto, for example.

I trade on about 8 major pairs.

My strategy lets me quickly filter the pairs to see if I'm going to take the trade.

However - if I actually take the trade is going to depend on a lot of things, like 1) what the other pairs are doing, 2) what the overall market is doing, 3) what upcoming events for these pairs are happening, 4) what Bitcoin looks like it's going to be doing soon, 5) locations of potentially dozens of orderblocks above and below, 6) every pair behaves differently given the same set of conditions...

Not saying it couldn't be automated with a massive investment of time and effort, but if your strategy wasn't perfect at the beginning you risk your bot burning all your cash because you missed one loophole, which you'd never find until it happened.

Then, the markets are constantly changing. Bitcoin, for example, trades very differently now than it did a year ago. Now your bot needs an entirely new set of rules - it's always changing.

It ends up being more cost effective to just manually review everything yourself with a quick screener to save time.

Think about it. If massive financial firms have billions of dollars, brilliant quantitative analysts, and world-class developers available to throw at the problem - how the hell are you going to beat them with some bot made by a couple guys somewhere, and how are they not insanely richer than they already are.

But hey, if you figure it out, send me a PM I'll buy!

 

[itsjinx]

No there is no such thing as a legit trading bot that is actually working to make money. The answer is pretty clear: If a piece of automated software was able to automatically trade to make profit then it would never be sold publicly as the creators would just use it themselves. Aside from that, rarely does any automated trading work to begin with so such software rarely exists.

 

[Golden Phoenix]

Just talked to my friend that bought the bot today; he has deposited 1,000 USD into his account. And for the first week he indeed gained some decent return with the help of the bot. But now he began bleeding money fast and starts panicking since he's a complete noob when it comes to Forex. He even plan to sue the national TVs that promoted the bot. Poor guy...

 

[momowriter]

Imagine having a bot that give u returns of 45% per week, why would you sell it??? Would you sell your golden egg laying goose?

 

[goawayplease]

if i was this guy i'll sell it for sure. Why not, i lost so much money to test this stuff now i'm out of budget. So to make all my money back i sell it then i take all my money back less than few month and do my own stuff. We take money from the market it's not your and mine money. If method work i'll work forever no matter how market look like