So is it possible to turn on a forex trading robot and make money? Or is this a scam and should be avoided at all costs? Automated forex trading machines or EA's are very popular and there are a seemingly endless list of them all trying to get you to give them a try. Most people are skeptical about them as they seem to promise unreal returns in just a few months. Do these trading systems work and is is possible to make money with them?

I decided to find out for myself, and after months of testing with various forex trading robots and systems, automated and manual, I realized that most of them do not work and have given me significant amounts of losses in the testing. Despite the number of robots that failed, there were a several that have delivered consistent monthly profits, and I continue to use them.

With the most up to date automated forex trading software, losses are still unavoidable and will be made occasionally just like any form of investment. However, it is that the risk-reward ratio of currency trading, especially with robot trading, that make the risk of making losses on some weeks is well worth taking, because of the massive potential amount of profits that can be made.

Each robot or EA system has their own unique way of trading, profit targets, risk levels and money management techniques. I prefer not to use software that try for large gains but are very risky in nature. Experience dictates that it is much harder to continue growing your money once you have suffered a huge single trade loss.

As I looked through the systems and all the back tests, it became clear that some had huge losses at times, and so I could avoid try these systems at all. Back testing results are usually available before making a purchase and you should be carefully looked through. It is much harder to come back from a huge loss than it is from several very small losses.

An important feature would be, does the currency trading software detect changes in the spread of the currency pairs? If so does it take that into account for the positions that it takes? This means if the strategy is based on taking 10 pips a trade and the spread moves from 3 pips to 8 or more, does the trading robot know this and stop taking trades?

The systems that provide live results are the ones with the most to lose, they are putting it out for the world to see. They also are the ones that will offer your money back if it does not work for you. I have found several automatic forex trading systems that have proven they can make a profit over and over again.

There are many candlestick patterns that have been identified and used by investors to assist in trading performance. Candlestick patterns are best used in conjunction with other analytical tools in order to produce optimum performance. 10 candlestick patterns that traders should learn for investment activities are the following:

* The dark cloud cover: This 2 candlestick high probability formation is bearish. Generally the first candlestick is continuing the bull trend and the next candlestick will gap up and open appearing to continue the trend, but fail to make any bullish headway and close well below the open and well into the real body of the first candlestick.

* Doji: You will find doji's where the open close, high and low are in close proximity. The candlestick ends up looking like a small cross. It means that the buyers and sellers are indecisive and can indicate potentially that a reversal is about to take place.

* The engulfing candlestick pattern: This formation consists of just two candlesticks. The first of the two will open and close within the real body of the second candlestick, and as such the second one will have an open and close outside the first candlesticks real body. This can be a bearish or bullish engulfing pattern depending upon the full or empty bodied candlesticks in the pattern.

* Evening Star: Commonly regarded as a bearish reversal pattern, this three-day pattern consists of a long white body, followed by a smaller gap up candlestick, with the third and final day closing below the midpoint of the first day.

* The Hammer: This is a single candlestick. The hammer is always bullish It will indicate a continuation in a bull trend and a reversal in a bearish one. It just a small body and a long tail. The tail is imply the bears trying their best to push price down and failing by end of day to keep it there.

* Hanging man: The hanging man is still a hammer, but when its on an uptrend its called a hanging man. Look to the long tail for the intuitiveness in the candlestick. Price pushed down but failed to stay there, this is bullish and so the hanging man tells us the trend will continue. A continuation candlestick.

* Harami: This is a simple two day candlestick pattern that has a relatively small body on the second day that is completely surpassed on both sides by the previous day's candlestick and is always of the opposite color. It usually occurs during a minor correction in a bear or bull market and signals that this temporary uptrend or downtrend is reaching an end, and the underlying trend will continue. It is especially considered a strong indicator when it appears together with low trading volume.

* Morning Star: This formation is considered a three day bullish reversal pattern that consists of a long bodied black first day, a short gap down second day, followed by a third long white bodied candle, which closes above the midpoint of the first day.

* The piercing line: This pattern is just two candlesticks. It is a bullish reversal pattern. What happens here is the first candlestick will continue the bearish trend down and the next will appear to be following suite on the open but will surprise you as it closes much higher and exceed the 50% level of the first candlestick.

* Shooting star: This is a single candlestick pattern. It looks like an upside down hammer and signals a bearish reversal. As such it's best when found on a bullish uptrend. Look to the long upper witch for the intuitiveness in this candlestick. The bulls pushed hard like they did in the prevailing trend but the bears won the race by days end closing near the low / open.

Even when you're a beginner to online stock trading, you too can learn just how easy it is to invest your money. Learning to trade online has become easier for non-professionals like you because of the many sites that offer stock market investing guide and course programs to help you discern the best online investments.

To start, find yourself a reputable and credible stock market investing guide from a professional. For this, you'll need to sign up with an online trading firm. There are many online firms that offer free account registration. What matters is that you won't be left on your own, once you've started. Here are some tips to picking a reliable stock trading site as your stock market investing guide:

A credible online trading firm should teach you the tools of the trade, as well as be your guide in every step of the business.

Most online trading firm would ask you to sign up with them as it is profitable on their part. But there are many fraudulent online firms that would not hesitate at taking advantage of your investments. One of the most common schemes these fraudulent sites would try is the "Pump and Dump" scheme. They'll hype and inflate prices of stocks and then dump these on investors who have no idea what they're getting into. So be careful when choosing which online trading firm you would want as your stock market investing guide.

These online firms can assist any individual stock trader who wants a hands-on involvement in his or her own investments. A great stock market investing guide is one who can show you not only the tools of the trade, but how you can keep track of your stock investments, as well.

Look for an online stock investing guide that offers its non-professional investors with online trading support services.

Don't hand your investments to online firms that will claim to take care of your money. That's not a sign of a reliable stock market investing guide. Always ask to take control of your investments. Look for a trading site that offers services like direct investment options, listings of independent stock news sources, as well as courses on online stock trading. These are signs that a stock trading firm not only wants you onboard, it will take care of you and your investment by acting as a trustworthy stock market investing guide.

Information is a vital stock market investing guide and reference. When choosing a online stock trading site, make sure that the one you is updated and well-informed, particularly in the markets you're interested in. There are sites that serve that offer vital stock quote data, charts, news and information. There are also other sites that cater specifically to the online trading community in terms of offering tools and applications that help beginners with stock analysis, streaming stock quote data, and other useful information.

Never limit yourself to your stock market investing guide alone. Choosing a reliable online trading firm as your stock market investing guide is half of the work done. The rest is up to you. Once you get the hang of online stock trading investments you'll be more confident in investing bigger stock picks.