Algorithmic Trading Strategies

[Rudolf Eucken]

Any strategy for algorithmic trading requires an identified opportunity that is profitable in terms of improved earnings or cost reduction. The following are common trading strategies used in algo-trading:


The most common algorithmic trading strategies follow trends in moving averages, channel breakouts, price level movements, and related technical indicators. These are the easiest and simplest strategies to implement through algorithmic trading because these strategies do not involve making any predictions or price forecasts. Trades are initiated based on the occurrence of desirable trends, which are easy and straightforward to implement through algorithms without getting into the complexity of predictive analysis. Using 50- and 200-day moving averages is a popular trend-following strategy.

[Rudolf Eucken]

An EA (Expert Advisor) in the context of forex trading refers to a software program that automatically places trades on behalf of traders based on predefined criteria and algorithms. These algorithms are typically designed to analyze market conditions, such as price movements, indicators, and other variables, to execute trades without the need for human intervention.


EA robots (https://botogon.com/) can vary significantly in complexity and functionality. Some may simply automate basic trading strategies, while others may incorporate advanced machine learning algorithms or complex trading strategies.


Traders often use EA robots to automate their trading processes, which can help eliminate emotions from trading decisions and allow for faster execution of trades. However, it's essential to note that using EA robots comes with risks, and traders should thoroughly test any EA before deploying it in live trading to ensure its effectiveness and reliability.