Failing Robots
j4j’s comment about all forex robots eventually failing is interesting.At first I thought “That Makes since.” but as I continued to think I started to change my mind.
I believe that forex systems are based on analysis of historic data and predictions based on the the relationship between events. It’s strictly analytical and as long as the rules stay the same the same systems based on these criteria should preform the same in a 100 years as they do today.What these robots and indicators can’t include is the human factor.
The human, emotional, factor involved in the market can never be predicted by an EA. The nonlogical herd mentality, fear, anti trend, attempt to time, elements that humans poses is not equatable and therefor the EA’s can not predict.
Forex robots should act the same at all times. Humans will not. EA’s will function on the data they are programmed to analyze. My mood can effect how I react to the same situation on two separate occasions.
Why would a bot eventually fail all things being the same?
Thanks for your time,
The Forex Noob
