Trillions of dollars are exchanged every day in the Foreign Exchange Currency Market (FOREX). Governments, international banks and corporations, and professional investment companies have been doing this for many years as the result of a need to convert one currency to another.
The last decade, however, has seen the forex marketplace become accessible to the individual through the process of retail forex trading. This access has resulted in millions of people exchanging currencies in the quest of profits that result from correctly predicting the change in value of one currency compared to another.
Modern technology, in the form of powerful personal computers and mobile devices combined with high speed Internet connections, has made it possible for individuals to trade forex online from anyplace where an Internet or cellular connection is available.
These millions of people represent a huge potential market for forex providers. Because forex brokers earn a fee for every transaction their clients complete, forex brokers compete fiercely for new customers and to retain their older customers, offering many incentives in order to do so.
One of these incentives is a free virtual private server for online trading.
Primary Advantage of Free Virtual Private Servers (VPS)
By far, the biggest benefit to a VPS is that the anxiety that can be experienced due to a computer or Internet malfunction is eliminated. Ask any trader who has been trading online for any length of time and they will tell you that one of the worst feelings possible is when a trade is working and they are cut off from the ability to manage or exit the trade. Being cut off like this seldom results in anything good happening when access is restored.
A VPS system erases this concern by splitting the functions of a single physical server into many cloud servers that exactly mimic the look and function of the forex broker’s data.
The mental security this knowledge provides for the individual trader is extremely conducive to more logical trading decisions.
Other Advantages of VPS
Once you have been exposed to forex trading for a while, you might very well want to investigate using Expert Advisors (EAs) and automated trading systems.
Even in a quiet currency market, prices fluctuate constantly and being able to execute orders at the exact price at which you desire to execute those orders is critical. EAs and automated trading systems do this at the millisecond level, much faster than any human reaction.
Combining the speed of the above two trading tools with a VPS will mean that trade execution is essentially instantaneous, meaning that you will not experience any price slippage while you are trying to manipulate your mouse or keyboard or the buttons on your smartphone or mobile device. Over time, this will have a positive effect on your profits from winning trades and reduce your losses from losing ones.
Another key advantage to VPS trading is that it is completely compatible with EAs and automated trading systems, so you can instruct your EAs and automated systems to seek trades your analysis has shown to have good potential even when you are away from your trading screen for any reason, or so much time has passed that you have forgotten those profitable trading ideas.
Using the power of technology in this way provides you with a valuable edge over your competitors. You will only have to experience a couple of instances where your VPS has executed profitable trades while you were sleeping or at work to appreciate the power of trading using a VPS. You will likewise appreciate that the trades were executed at the exact price you specified or that trades were closed at the loss limit you determined beforehand to become a firm believer.
As trading technology advances, it is imperative to stay current in order to maximize your forex trading profits and minimize your trading losses. A VPS is one of the most effective tools available at the present time to accomplish those objectives. The VPS levels the playing field in a way that even the small individual trader is on equal footing with every other trader, regardless of those traders’ size.