How algorithmic trading is shaping forex markets Algorithmic trading, or algo trading, is rapidly changing how forex markets operate. It involves using automated programs to execute trades based on pre-set criteria such as price movements, volume, or timing. These bots scan markets 24/7, reacting faster than human traders and removing emotional decisions. One major advantage is speed—algos can open and close positions within milliseconds. This gives institutional and retail traders an edge in fast-moving markets. They also improve consistency by sticking strictly to programmed strategies without second-guessing. However, algorithmic trading comes with challenges. Poorly coded bots can malfunction and cause rapid losses. Also, in highly volatile markets, even the best algos can struggle if conditions change suddenly. As technology evolves, algos are becoming more sophisticated, incorporating AI and machine learning. Traders who adapt to this shift and understand how these systems work gain a significant advantage, while those who ignore it risk being left behind. #CommunityAMA