VPS is a great solution where you can have individual server usage, and at the same time, you are not overpaying for this service. Usually, customers who need more freedom and are not satisfied with the shared server should choose either VPS or a dedicated one. The virtual server wins greatly in this battle, because of the price range and general functionality of the processes, managing, and organization of the data.
Let’s dive into the forex trading experience with VPS.
Why Should You Use a VPS for Forex Trading?
No one forces anyone to use a virtual server for online trading. Actually, lots of traders use old methods of using apps and managing everything on the go or trading on PC and still profit from their business.
However, new technologies have appeared on the market and the virtual private server has much more benefits when compared with the old way of trading. Let’s discuss a couple of them.
The usage of usual apps on low-quality hardware will definitely lead to worse performance and some major troubles with the timeframe of trade execution. To avoid these problems, you can either purchase powerful hardware or try VPS that will totally guarantee the same experience.
When using a laptop or any other device for trading, this app will share the same space with other software on the gadget. By using VPS for trading purposes only, you are greatly lowering the chances of any drops or delays in the system.
Internet speed on the virtual service is much higher than on your PC, this means that data you are sending will arrive quicker to the broker. The time delays are minimal when using the server for these purposes.
It is a standard issue when you have trading problems because of poor connection or power outages. With VPS appliances this trouble is almost excluded. It is possible, due to the data centers where these servers are. There is a professional team of experts who control the environment and sometimes fix any possible issues beforehand. This means you are guaranteed to have an uninterrupted trading experience.
Any trading platform such as Forex works 24/7, which means you can potentially make profitable trades at any time. With the help of automatized scripting, investments can be made even without your personal interference. If you are traveling, sleeping, or busy with any other tasks, robots will trade instead of you. However, to make this process smooth, you’d better use VPS.
How to Install MT4 on Your Forex VPS?
Meta Trader 4 or MT4 is already on the market for 18 years, and it is still the most powerful application for Forex trading. Initially, it was designed as a platform for Windows users, but now you can also use it on other OSs. Here we will share the installation guide on Windows:
- Connection to the VPS
For the smoother installation process, there exists RDP or remote protocol. It is like a client which interacts with the virtual private server. The quickest method of launching is by typing “remote desktop” in the start menu.
Once you see the window of the client, you will need to fill in the standard information such as the IP of the server and credentials. This data you can get from the provider, and usually it is sent by email. If everything is done successfully, you will see that the server is connected to the desktop.
- Installation of MT4
We highly recommend downloading MT4 from the official site. Then you are ready to start an installation process that will take only a couple of seconds. Read all the agreements and press next and the process with finish automatically as any other installation of any software.
- The setting of the robots
As for Forex robots setting, it is rather an individual choice. You can use free options or more advanced paid once. For those who have some coding experience, there is an option for customized creation of the robot. The complexity of Forex analysis totally depends on your personal requirements.
1. Ensured Uptime
Uptime is an important characteristic which you should pay attention to when choosing VPS. When reviewing the criteria, you might notice 99,9 percent. It means that 99.9 percent of the time in a year the server will be online, and the remaining time may be offline, depending on whether from 99.9 or 99.99 this time will change, i.e. for example, a week of the year on the server may not be available.
2. Managing Slippage and Latency
Forex and any other trading platform prices change in a matter of milliseconds. That means you can initiate a transaction and the price will already be changed before its execution. So traders are losing even when making the right choice.
Those who are usual PCs for Forex averagely wait 200 milliseconds prior to the execution of the transaction. Virtual server clients have no such huge delays, it is approximal calculated in 5 milliseconds. As you see, it is an important characteristic and you’d better pay attention to it when choosing a private virtual server.
Forex trade prices usually change after 5 milliseconds, so choose those VPS that offer a latency of 5 or less.
3. Aligning with Your Expert Advisor’s Needs
The compatibility of the virtual server and trading bot is extremely important and you should check it prior the choosing the VPS.
EA language should need specific software that should be compatible with VPS. If that is not conducted as needed then you will not have the optimal level of functionality.
4. Price Remains a Crucial Consideration
The budget formation is a rather individual thing and should be first calculated individually only then start searching for the specific server.
Forex trade VPS prices range from a couple of hundred US dollars and may reach thousands if speaking about annual plans. The more expensive the virtual server is the more secure, with higher uptime, service you will receive. However, there might be some differences, so carefully review the characteristics and choose the price accordingly.
5. Significance of Server Location
Any provider can now offer their clients a huge geography to choose from. The best variant is to consider the location which is the closest to the brokerage. By doing so you are greatly minimizing the ping between the initiation and execution of the trade.
It is really a crucial thing so that you’d better determine the location of the brokerage and adjust it to the geography of the virtual private server.
6. Unwavering Emphasis on Security
Safety is crucial for the trading industry, and here in this paragraph, we will discuss the major safety characteristics that are important while using a virtual private server.
The first point to keep in mind is info protection and its encryption. Encryption of the data means that the information that is transferred from the trader’s PC to VPS is changed in such a format that no one can reach it or such happens that you cannot understand it. The most secure protocols are TLS and SSL for proper information protection. In addition to this, you as a user should regularly make data backups or you may search for a VPS with automated backups.
The next level of protection includes the usage of intrusion systems and firewalls. The last method is used for security against any probable cyber-crimes. IDS also functions to determine any suspicious activity. Once you have a notification about the attempts to access your virtual server you can prevent any harmful activity right away.
One more great option to consider for trade servers is MFA or multi-f authentication. It is a great method of securing your server because once an unknown user fills in the right password, he/she still needs to follow code authentication via a mobile phone or any other gadget. It may be tiring for you at first to follow all these steps in order to log in to the system. However, in terms of data safety, it is the best possible variant.
The last thing to mention is regular updates. It is a crucial thing to remember about if talking about your personal safety. Regular updates of the system and soft will guarantee security according to the latest measures.
Being successful in Forex trading means that you win with the quickness of your decisions and minimal latency of the system. For these reasons, it is highly important to implement new methods for Forex trade.