Automated tradingUpdated 3 min readBy the FXNOD team
What should you check before connecting a trading bot?
Before connecting a trading bot, check that you sign in on your broker's own page, that the bot asks only for trading permission, that you can read its rules, that it lets you set a stop loss and a stake, that it runs on a demo account first, and that you know how to stop it and revoke its access. If any one fails, do not connect.
The connection
- You type your broker password only on the broker's own domain. Read the address bar.
- The approval page names the tool and lists what it is asking for.
- It asks for trading access, not for payments or withdrawals.
- Nobody asks you to send money to the bot's seller, or to open an account through a link in order to unlock the bot.
The bot
- The entry and exit rules are written down and you can explain them to someone else.
- You set the stake, and you can see how it changes after a win or a loss.
- A stop loss exists and is enforced even when your device is off.
- There is a ceiling on the largest single stake if the stake can grow.
The test
- It runs on a demo account with the same settings you plan to use live.
- You have watched it through at least one losing stretch.
The way out
- You know where the stop button is, and what happens to a trade that is open when you press it.
- You know where in your broker's settings to remove the tool's access.
Red flags that end the conversation
| What you are told | What it means |
|---|---|
| Guaranteed daily profit | Nobody can guarantee a trading result. This is the mark of a scam. |
| Send us your login and we will run it for you | You would be handing over the account. |
| Deposit with us and we trade it | The money leaves your control. A legitimate bot trades the balance at your own broker. |
| The strategy is secret | You cannot assess a risk you cannot see. |
| Only works on real accounts | You are being steered away from testing. |
Questions people ask
- Should I ever give a bot my broker password?
- No. A legitimate tool never needs it. It uses the broker's login page or an API token with limited permissions.
- How do I know if a trading bot is a scam?
- Guaranteed returns, pressure to deposit quickly, payment to an individual, a secret strategy and no demo mode are the usual signs. One is enough to walk away.
- What permissions does a trading bot need?
- Reading your balance and prices, and placing and closing trades. It does not need to move money out of the account.
Run a bot that keeps its limits
FXNOD's bots run on its servers and will not start without a stop loss, so your limits hold when your device is off. Build one in Bot Forge or start a ready-made one in Auto Hub, on your Deriv demo account first.
Get started