The TradeFoxx Automatic Trader is programmed to do what a human trader should do when trading the market. We have programmed 10 trade setups we have found through back-testing that offer a classical approach to finding a valid entry.
There are many settings available for controlling time, hours of the day, max losses, max wins, adjustments to indicator periods, and more. These settings need to be learned and reviewed.
- It is possible to use other chart types to trade Forex and Futures, but experimenting is required to prove success.
- Charts use Renko 10 by default, but could work on Renko 2 though 30 testing is required for each instrument of choice.
The Anatomy of an AUTOMATED ASSISTED TRADING SYSTEM (ATS) Strategy
TradeFoxx Auto-Bot is an automated trading strategy. One of the biggest attractions of strategy automation is the fact that it takes the emotion out of trading since trades are automatically placed once certain criteria are met. TradeFoxx establishes specific rules for entries and exits, trade strategies use TradeFoxx Indicators, and are executed via a Ninja Trader Version 8 platform.
This human pilot (trader) can do what the Auto-Pilot can do for closing a position if you see the trade moving against the trend. Just like in a pilot, the auto trader needs a human pilot to assist and monitor trade events. You should not set it and forget it.
In other words you must know the strategies, when the bot should take the trade and be ready to take over if things do not look right. You cannot and we do not promote trading blind, and yes you must paper trade for at least a month to become a Human Pilot (trader).
The Auto-Bot can be back tested through the Ninja Trader Strategy Analyzer. Back testing applies to historical market data to determine the viability and settings for optimized trades in the market of choice.
Careful back testing will allow traders to evaluate and fine-tune to a specific market, and to determine the system’s expectancy – like the average amount a trader can expect to win (or lose).
The trade rules are a collection of proprietary trade setups and classic trade setups we have programmed into the autobot. We call them trading events. By automating execution once a signal is met, discipline is preserved even in volatile markets. Human discipline is often lost due to emotional factors such as fear of taking a loss, or the desire to squeeze out more profit from a trade. Automated assisted trading helps ensure discipline because the trading rules are absolute and followed exactly based on the adjusted settings. This is like clock work without emotions, “it’s a robotâ€.
For the success of any event there is an array of three or more confirmation signals at play with the Core event. So it is not as simple as when Price crosses a particular period.
In any Trading Platform you need to learn how to create and modify ATM for Stop, Profits and Breakeven values it is the most critical part of trading after a successful entry. We are here to help you find these values for free as a paid member. Just drop us an email to support@tradefoxx.com.
If an ATM is not created, the Auto Bot will not produce results. We provide a generic template to get you started. One for Forex and one for Futures both for live trading and back testing.
To use an Auto Trader in NinjaTrader you must understand how to enable a strategy in a chart. You must understand how to setup an ATM with hard profit and stops and trailing stops.
The generic ones are located in c:/tradefoxx and need to be copied to the template section of NinjaTrader.
A successful autotrader must set the Automatic Trade Management (ATM) to execute precisely with a trailing stop. ATMs are different for every forex pair or futures instrument. Each pair must have its own ATM.
We offer some basic ATM options to help you get started. We also support you to accomplish your ATM goals once you are a paying customer. Like any business, trading with an auto-bot requires some sweat equity at the beginning. This entry has a percentage high enough to make a profit as long as you keep the losing one on a tight stop-loss. We provide a good foundation and robot that will look at various confirmation signals before entry, as well as a regular close-loss on the winning one. And profits can be achieved with trailing stops.