robots

Robots – Automatic VS Semi-Automatic

One of the questions that I am most often asked is What is the best automatic system? First, it is necessary to understand the differences between Automatic and Semi-Automatic Robots. What are their advantages and disadvantages in the Binary Options Market?

In order to simplify the explanation, especially for binary options beginners, I will compare four examples of Automatic and Semi-Automatic Robots.

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There are two types of Robots:

For automatic robots, we have BinaryOptionRobot.

For the semi-automatic, we will talk about the Binary Options Signals.

I will not comment on the potential gains from each of these Robots.

For information on the potential gains, please read the individual reviews of the robots on the blog.

Here, we will focus on the way they work, the differences between the types of robots, and the advantages and disadvantages that they have, especially if you are an inexperienced trader.

Tips from our Professional Trader: 6 reasons to have 2 accounts

Do you know that you should work with more than 1 broker?
Check the 6 reasons why you should have account with at least 2 brokers:
  1. Each platform has its differences. If you try different platforms you may find those more suitable to your trading style.
  2. Each broker has his own payouts that keep changing during the day. If you want to open a trade and one offers 60% and the other 80%, you will choose the one with best payout, no?
  3. Sometimes the brokers close some assets, if you have just one account and you want to trade on that asset and it is closed, you will LOSE that trade, no?
  4. If there is an issue with your Broker’s platform, or they are updating it you’re not able to trade, unless you have another account with other broker.
  5. Deposits and withdraws. Brokers keep changing the deposit and withdraw methods, imagine you need cash fast and your withdraw system is closed at that moment on your broker, what do you do?
  6. Each platform has its owns indicators and trading tools, imagine you found a new stratey and it does not work on your broker because it uses an indicator that your broker does not offer.

Below you can find our main trader suggestions on brokers:

Robots – Differences

Automatic

  • The big difference between them is that 100% automatic systems work automatically without any interference from the trader.
  • You simply choose the value of the trades and the risk level.
  • Everything else is done by them.
  • The trader doesn’t have any work to do.

Semi-Automatic

  • The semi-automatic systems analyze the assets and send signals, but the placement of the actual order is the customer’s responsibility.
  • The trader has to go to his platform, or the Robot’s platform and place the respective order.
  • This involves doing some work and making the decision of whether or not to use the signal the system provides.

Robots – Advantages

  1. The advantage of the automatic system is that it does not require any work from the trader.
  2. After setting the risk parameters and the value of the orders there is nothing else to do, the system works in the account automatically and independently 24 hours a day.

Robots – Disadvantages

  1. The disadvantage of Automatic Robots is that you cannot control your account. If there are gains, there’s no problem, but if there are losses, you may not notice and on a bad day you can lose all the money in the account.
  2. Another disadvantage is that the automatic systems usually work with higher value orders with a minimum trade of $25.
  3. Signals systems you chose a broker with the value you want (form 1$). Thus, we have more room to trade without endangering our account, especially in the beginning stage when we intend to trade without running the risk of losing a lot of money.
  4. Also, with the Signals, you can decide if you want to use it or not. For that reason, many Brokers do not allow Robots but allow Signals. This is an example of Brokers like IQ Option, or Olymp Trade, or even Binomo. None of these 3 big Brokers accept Robots but do accept Signals.

Robots – Conclusion

Although both systems are Binary Options Robots, in reality, some are basically signal providers while others are fully automatic robots.

Personally, I prefer to have some control over my account and my money, at least initially, when I do not know what results I will get with the system.

In this sense, I prefer a system where I can decide whether to place the trade with the signal. This way I can stop when I see that the day is not going well, or I can increase the value of the trades when it is going well.

I also consider the value of the minimum trade important, especially if I’m starting with a small account.

Imagine you have an account with $250. If you are using the Make Money Robot and on the first day you have four orders with losses, you immediately have $100 less in your account because the minimum value of each order is $25. You will doubt if you should continue because you’ve lost almost half of your money in one day.

Now imagine that you are working with IQ Option and you have four orders with losses at $1 each. In your $250 account, you have only lost $4. You certainly won’t be afraid to keep trying to experiment, it could have just been a bad day, without much influence on your balance.

Of course, when you win with a $25 trade the profit is much more than when you win with a $1 trade. But when you win everything is easy. What is hard to manage is when you lose.

If you are a beginner, there is less pressure when you deal with smaller losses and gains than with higher values. And at first, not losing is more important than winning. You can test the system and gain confidence, then move on to trading with larger and more aggressive values.

If you decide to try a Robot, before depositing ask me by email or Skype (see contacts) to send you a Trading Guide for Automatic Systems.

This short guide has a set of rules and advice that will help you use the Robot in the beginning.

Even when trading with automated systems it is very important to comply with some rules that can be the difference between success and failure.

Please contact me BEFORE making the deposit, because sometimes the link that is used is not mine.

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