As Automated Trading becomes more and more popular, people are wondering exactly what it is and how it relates to investing. Can Automated Trading systems be used to create a viable investment portfolio?First, let’s examine the difference between human trading and investing. Human trading is the process of buying and selling stocks, options, futures, or currencies (on the Forex market). The internet has brought the world of trading within reach of anyone with $1,000 and an internet connection. Yet trading is quite different from investing.Investing is more of a long term process, when the investor consistently makes money over time. They may buy stocks, real estate, businesses, art, or anything else of value. The successful investor grows their net worth as the assets that they purchase increase in value. And, they many never sell the assets. Many successful investors such as Warren Buffett practically never sell.
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