What are the risks involved in using auto trading features on Kraken?

3 answers

• Jan 12, 2022 · 3 years ago
  Using auto trading features on Kraken can be convenient, but it also comes with its fair share of risks. One of the main risks is the potential for technical glitches or malfunctions in the trading algorithm. These glitches can lead to unexpected trades or even financial losses. It's important to thoroughly test and monitor any auto trading strategies before fully relying on them.
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• Jan 12, 2022 · 3 years ago
  Another risk is the lack of control over the trading process. When using auto trading features, users are essentially handing over their trading decisions to an algorithm. This means that they may miss out on certain market opportunities or be exposed to excessive risks that the algorithm fails to account for. It's crucial to carefully consider the limitations and risks associated with auto trading before using it.
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• Jan 12, 2022 · 3 years ago
  As an expert in the field, I would recommend using auto trading features on Kraken with caution. While it can be a useful tool for some traders, it's important to understand the risks involved and to have a backup plan in case things go wrong. Always stay informed about the market conditions and regularly review and adjust your auto trading strategies to minimize potential risks.
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