The Evolution of Forex Trading Platforms

Forex Trading Platforms have come a long way since the early days. Just like everything else in the IT industry, it’s all about becoming more user friendly.

Forex Trading Platforms Keep on Evolving

The forex trading platforms of the early days were more like spreadsheets full of numbers, rather than graphically rich trading terminals. Today’s forex trading platforms offer rich graphics. So as to eliminate the possibility of making a mistake or executing the wrong trade. But also, they have a lot of automation, such as contingent orders, a trading tool which didn’t exist in the early days. Trading forex has a lot to do with gaining an advantage of view on the market, over other traders. And even back in the day, wise traders were able to predict turning points in the market, even without even using the best forex trading platform available at the time. Top trading tools were at a premium price, and only investment bankers could afford them. So has the wise trading advantage has been lost in today’s markets, because of too many traders using top platforms? Definitely not! The wise trading advantage of the old timers relies on trading techniques, market analysis, and chart reading at a glance. The advantage is certainly there, because the market itself makes it possible. Despite the fact that 1000s of traders look at the same market charts. Charts that are made out of clear, color graphics. Each one of these 1000s of traders looks at them differently, and not two traders think exactly alike. And a s result, there is a difference of opinion, there are different trading objectives and various time frames of interest. So, the wise trader still maintains an advantage. And despite all improvement and trading tools available on these platforms, profitable trading always depends on some secret, manual process. Such as thinking process, chart analysis and unique fundamental analysis.

Forex Trading Platforms Evolve – Wise Traders still Think Manually

To make the argument that just because forex trading platforms evolve so well. And allow for automated trading, Expert Advisers etc, manual trading is redundant, is simply wrong and misleading. Fully automated trading has never been a match for manual trading. And in fact is no different to other jobs which also require deep thought process, and automation can never fully replace. Translators and programmers are two such jobs. Automation has helped them develop and has made the job tools so user friendly. But even to this day, it is impossible for a computer to produce a complex accurate translation, or to create a computer program, all by itself. Trading is just as complex if not more so. In fact, the FX exchange mechanism carries risks and uncertainties which cannot be modeled mathematically. Not unless the designer makes assumptions, assumptions that this or that will not happen. But Murphy’s law always finds its way in through such assumptions. So the bottom line is that trading platform evolution is not threat to creative thinking and manual trading. They will always be there for original thinkers to figure it out and use it.