iRobot Software Review: The American real estate boom and subsequent bubble burst some ten years caused a global recession. Major world economies were negatively affected and some industries even collapsed. Most importantly, the perception of people towards the more traditional investment brokers and platforms such as real estate changed forever. Funny enough, binary options trading as a viable investment option gained prominence in 2009, when America, and pretty much the whole world were experiencing recession. It is safe to say that the mainstream attention and popularity that binary options robots and brokers enjoy today arose out of the need to move away from the traditional physical investments like real estate and into more liquid platforms like financial trading.
Trading binary options even with signals is not as easy as it seems though. For one, there is a lot of technical analysis to be done. Think of complex mathematical charts and graphs, dozens of market variables to analyze and plenty of market news to follow. Doing all that and achieving success is not easy, and it was never meant to be. Automated trading software systems, popularly known as robots or bots, were developed to help even the least skilled traders achieve success in trading, with as little effort as possible. Due to their ease of use and range of benefits compared to manual trade execution, trading systems are quite popular, their numbers totaling thousands.
iRobot is an example of such automated systems and one of the most controversial auto trading systems in the market. In all aspects, this review will be beneficial to you, as a trader, and even to non-traders looking for some insight on trading robots. We will tell you what features iRobot offer(ed) and whether they are legit or not. You will also get to know what to look for in a trading software before you hit that ‘Sign Up’ button.
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iRobot is a new trading software designed and created by a professional binary options trader (allegedly) and is meant to help thousands of traders worldwide make the most out of trading and achieve their financial goals. Two important points to note here; One, do not confuse iRobot the binary options software with iRobot the robot manufacturing company. And if you did visit irobot.com and found all sorts of cleaning products being advertised, don’t panic, it is probably because you went to the wrong website. The registered site for the software is ibinaryoptionsrobot.com.
With the first point, or rather clarification, out of the way, let’s move over to the second one. This one has to do with exercising caution while doing any business with the site you’ll get to know why in a minute. Nonetheless, as a precaution which could also double as a word of advice – any site that promises to significantly expand your bank account in just a few days will most likely exhaust it in even less time. iRobot, albeit subtly, promises to do just that and even claims to have worked perfectly for over 2000 traders.
Before even verifying the truth (or lack thereof) in those claims, a general overview of the features of the software is very necessary.
Considering the site is new and not yet convincing enough, it is actually surprising, in a good way to see the amazing features in the robot. Although it has not yet met the standards of the market leaders, iRobot is pretty much halfway there. The following are the good, the bad and the meh features of iRobot :
Although not yet proven, by an independent third party that is, iRobot’s accuracy is pretty high – at 85%. This is the upper market average and you would be hard pressed to come across a robot that is more efficient than this. Remember financial markets, in particular binary options are very unpredictable and having correct predictions 85% of the time is not a small feat.
According to iRobot’s creators, part, or all of the robot’s accuracy comes from the thorough methodology of sieving signals before placing trades. The robot’s algorithm uses a range of highly mathematical methods to come up with signals. The most important of these are the technical indicators which are under the control of the trader. Basically, iRobot makes use of signals from six of the best technical indicators in financial trading. Traders maintain overall control here – another big plus here – and can choose to have their trades based on all, one or just a few of the indicators. In case multiple indicators are selected, the robot won’t place any trade(s) if all the selected indicators don’t produce the same signal. For instance, if all six indicators have been selected, the robot will not place a High option if all the indicators don’t show a High signal. This simply means that if any of the indicators generate a different signal, no trade will be placed. This method is attributed to fewer but more profitable trades – quality over quantity all the way.
The indicators include :
Trend indicator – This type of indicator analyzes past and present market trends and uses that to project future price movements. It is the most commonly used indicator in binary options.
Moving Average Convergence Divergence (MACD) – Like the Trend indicator, MACD also follows market trends. The difference is that it focuses more on the overall trend momentum, in particular the correlation between 2 moving averages. MACD is relatively more efficient and provides better quality signals.
Relative Strength Index (RSI) – As its name suggests, RSI analyzes the strength or magnitude of recent wins and losses and determines the general price momentum.
Commodity Channel Index (CCI) – An oscillator that concentrates on identifying overbought and oversold market conditions which is crucial in predicting possible price reversals.
Williams Percentage Range – Developed by professional trader and market analyst Larry Williams, this indicator works more or less the same way as CCI. It identifies overbought and oversold conditions and uses that data to determine price action.
Stochastics Oscillator – A price momentum indicator which captures the most recent closing price of an asset and compares it to past price ranges.
A lot of people are very new to binary options and most probably have little or no experience with trading systems. As such, we recommend going for robots which come with risk free demo versions. iRobot gains some extra points for having a demo version available for free at the website. The version is meant for trade practice, for lack of a more suitable phrase. All traders, level of experience notwithstanding, are invited and actually encouraged to first try the demo version before proceeding to real trading.
The demo does not require signing up and is accessible to basically everyone visiting the site. This makes a lot of sense from a business perspective as it also doubles as a marketing tool. Logically, the demo version contains the pretty much the same features as the real version. Expect to find (virtual) brokers, signals and even a price feed although not a live one. To top it up, you will receive a sum of virtual trading cash from iRobot with zero conditions. Note that the demo account automatically expires once the virtual amount is exhausted so you have to be careful how you utilize it.
As you would expect, the demo version works smoothly with no hitches whatsoever. The truth is, it is always a different case when it comes to real trading. It makes sense for the developers to provide a risk free, hitch free, smooth trading experience on the demo version to attract traders. Some developers have been known to stage trading results to create a positive impression of the software to the traders. You will be shocked to find that whereas you made very few losses and big profits in demo mode, the losses are far much bigger and constant in real trading. Thus, while demo trading is ideal for getting to understand the software, it is never a true reflection of real trading.
iRobot is affiliated to 15 binary options brokers with whom deposits are made and trades are carried out. The trader has absolute control and freedom in selecting their broker. Granted, it is a great variety but more can be done in terms of introducing more brokers especially ones with good reputation. Traders will normally be attracted to a robot that is compatible with reputable broker since they will be assured of fund security. What the folks over at iRobot should know is that the type of brokers they associate with can make or break their product. That is not to say that the 15 brokers are scams. Neither does it mean that they can be trusted. Simply put, it spells uncertainty, in capital letters. And in binary options, uncertainty is bad for business.
Assets traded in
Another area that iRobot fails to meet even the lowest expectations is in the asset index. As it is now, the robot only carries out trades in currency pairs. So, if your area of specialty or preference is stocks and/or commodities, kindly look elsewhere. Once again, we have a case of not-so-bad-but-not-so-good-either and it really sucks. Just to state the obvious, all of us like some variety some times and even the most ardent forex traders will at times want to try out stocks, or indices. It is pretty disappointing that the software does not support the other asset types. This will force traders who wish to trade in them to find other robots, which is not that easy.
Anyway, the robot features a wide range of currencies from the main world economic players and even a few exotic ones. Some of the currency pairs supported include EURUSD, USDCHF, USDGBP and USDTYP. Here, what lacks in variety is made up for by quality – just as it should.
The robot can trade in two modes; a fully automated mode or a semi automated one. In the fully automated setting, the robot collects the necessary data, generates signals and executes trades all on its own without any input from the trader. In semi automated mode, the robot will collect the data and generate signals but will leave the final decision on which direction to trade to the trader. In this mode, the robot does all the hard work and leaves the easier work to the trader.
Having two trading modes on the system is a great idea as it covers all trading preferences. For instance, there are some traders who, for whatever reason, like fully automated trading where their only role is to deposit and withdraw money. Likewise, there are some traders who like placing trades themselves but don’t have the time for technical analysis. The robot will appeal to them just as it will do to the former group. Talk about killing two birds with the same stone.
After carefully analyzing all the features of iRobot, we find no reason to call it a scam. As a matter of fact, the robot has some of the best features we have seen and the amount of control it gives the trader is unbelievable. From experience, scam robots do not give traders that much customization options and they very rarely have demo versions. On the other hand, we are really not quite sure if iRobot is the real thing or it’s just a false facade put on for show. The robot is very new to the market and few traders have interacted with it. For this reason, we cannot really recommend the robot until it proves itself in the long run.
What we can recommend is a robot that has been here for quite a long time, one that has been tested and proven foolproof by thousands of traders, Binary Options Robot. The robot is free and requires no downloads, a working Internet connection and functional browser will do just fine. Its accuracy is also quite high and it is affiliated with the best binary options brokers in the world such as AnyOption.
Exclusive offer! Get the binary option robot for free by clicking on the button below!
Michael Allen is the main author at www.binaryoptionrobotinfo.com. He holds a PhD in Economics and has worked in investment banking for 24 years.
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