Forex

Medieval knights shopped for the sharpest swords, and modern traders
shop for the best trading tools. The growing access to data, computers, and
software creates a more level playing field for traders. Prices of hardware
fall almost monthly and software keeps getting better. It is easy for even a
computer-illiterate trader to hire a consultant and set up a system

A computer allows you to speed up your research and follow up on more
leads. It is not a substitute for making trading decisions. A computer helps
you analyze more markets in greater depth, but the ultimate responsibility
for every trade rests with you.
There are three types of trading software: toolboxes, black boxes, and
gray boxes. A toolbox allows you to display data, draw charts, plot indicators,
and even test your trading system. Toolboxes for options traders include
option valuation models. It is as easy to adapt a good toolbox to your needs
as it is to adjust your car seat.
What goes inside a black box is secret. You feed it data, and it tells you
when to buy and sell. It is like magic-a way to make money without thinking.
Black boxes usually come with excellent historical track records. This is
only natural because they were created to fit old data! Markets keep changing,
and black boxes keep blowing up, but new generations of losers keep
buying new black boxes.
Gray boxes straddle the fence between toolboxes and black boxes. These
packages are usually put out by prominent market personalities. They disclose
the general logic of their system and allow you to adjust some of their
parameters.