The automatic forex trading system is the buzz of the moment in the forex markets and they normally come with an excellent track record and testimonials to support them - but you need to beware of them, as all is not quite what it seems...

When you think about it the forex track records, you see with these forex trading systems are astonishing - they produce more than the top money mangers yet, only cost $100.oo or so and that begs the question:

Why don't major banks and brokerages sack their fund management teams and have a robot, at $100.00 as a one off, its better than the seven figure salary of a top manager - but maybe the banks are right.

The track record you see is actually just a paper simulation done in hindsight - not real money, check for the disclaimer and your more often than not sure to find it. The track record is done looking back over past data and of course, this is not an advantage you have in real time trading and therein lies the problem

The system has never been proven in the hard brutal real world and they never produce the same gains again simply because it's obvious they can't.

If they did, the vendor would not sell it so cheaply in fact he wouldn't sell it all, he would keep quite and make himself a millionaire.

What about the testimonials?

There seem to be plenty of people recommending the system and sure there are - but there normally selling the system! So there maybe let's say a little bit of poetic licence involved.

Should you use these automatic forex trading systems in your forex strategy?

The answer is if you find a real genuine one with a track record over say 2 or 3 years supported by account statements and you like the logic, go ahead - but it will cost you a lot more than hundred odd bucks howeverm there are some good ones out there, not many but a few.

So if you think you can get rich with an automatic trading system, which has never been traded, then maybe you need to have a reality check, because the past and the future may be very different and rather than enjoying the road to riches you could hit a road to equity wipe out.