Auto-Pilot Trading at Nadex

Auto-Pilot Trading at Nadex

Last week, there was a headline about the crash of a Tesla automobile during which the driver had the car in it’s “autopilot” mode. Tragically, the driver lost his life, so it may seem insensitive to tie this into trading, but there is an important parallel. Telsa does not claim it’s “autopilot” mode is a fully autonomous self-driving car, without risk. It does not claim to be infallible. In other words, there are risks you may not fully understand, if you take driving out of your own hands.

Often times, new traders want trade signals. An easy fix, like an automated system they can just turn on and let run. They want to take their hands off the wheel and if something goes wrong, it’s someone else’s fault. They want guaranteed returns (which DOES NOT exist) and they don’t want to take the time to understand the math behind the system or signals in order to understand where, and in what market conditions, the risks lie.

This is one of the reasons we like Nadex Binary options and spreads for newer and novice traders. With the limited risk profile, a trader can place a trade with whatever system they want and their risk is limited to the “Max Loss” listed at the bottom of the electronic order ticket. You still have to manage the AMOUNT YOU PLACE AT RISK, but there is a floor to that risk. Nadex is the perfect training ground to learn and improve, and once you are comfortable with your method, you can continue to trade in regulated and limited risk environment. It’s the best way to go.

The information contained above may have been prepared by independent third parties contracted by Nadex. In addition to the disclaimer below, the material on this page is for informational and educational purposes only and should not be considered an offer or solicitation to buy or sell any financial instrument on Nadex or elsewhere. Please note, exchange fees may not be included in all examples provided. View the current Nadex fee schedule. Nadex accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representations or warranties are given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk and any trading decisions that you make are solely your responsibility. Trading on Nadex involves financial risk and may not be appropriate for all investors. Past performance is not necessarily indicative of future results. Nadex contracts are based on underlying asset classes including forex, stock index futures, commodity futures, cryptocurrencies, and economic events.

Trading can be volatile and investors risk losing their investment on any given transaction. However, the design of Nadex contracts ensures investors cannot lose more than the cost to enter the transaction. Nadex is subject to U.S. regulatory oversight by the CFTC.