As far as i can tell The core efficiency of a trading bot lies in its speed, consistency, and ability to operate without emotion.
Speed: A bot can execute a trade in milliseconds, far faster than any human can. This allows it to capitalize on fleeting market opportunities that would be impossible to catch manually. Consistency: Unlike a human who can get tired, distracted, or emotional, a bot will follow its programmed strategy flawlessly, 24/7. It doesn't second-guess itself or deviate from the rules, which helps maintain a disciplined approach. Emotionless Execution: Emotions like fear or greed can lead to poor, impulsive decisions. The bot has no emotions; it simply executes its pre-defined instructions, such as hitting a take-profit target, ensuring the strategy is followed precisely as planned. In essence, a bot's efficiency comes from removing the human element, allowing for perfect, immediate, and continuous execution of a trading strategy.
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As far as i can tell The core efficiency of a trading bot lies in its speed, consistency, and ability to operate without emotion.
Speed: A bot can execute a trade in milliseconds, far faster than any human can. This allows it to capitalize on fleeting market opportunities that would be impossible to catch manually.
Consistency: Unlike a human who can get tired, distracted, or emotional, a bot will follow its programmed strategy flawlessly, 24/7. It doesn't second-guess itself or deviate from the rules, which helps maintain a disciplined approach.
Emotionless Execution: Emotions like fear or greed can lead to poor, impulsive decisions. The bot has no emotions; it simply executes its pre-defined instructions, such as hitting a take-profit target, ensuring the strategy is followed precisely as planned.
In essence, a bot's efficiency comes from removing the human element, allowing for perfect, immediate, and continuous execution of a trading strategy.