If you’re asking yourself, “do I need a VPS?” then I’m guessing you’re relatively new to trading and someone you trust has said you need it. So… should you get a VPS?

The answer depends on what sort of trading you do.

For the uninitiated, VPS stands for Virtual Private Server. Which is really just a fancy way of saying a cloud based desktop PC.

Imagine a PC with the same familiar Windows desktop you’re accustomed to, located in a datacentre elsewhere in the world. To access this PC you would log into it using your local machine’s remote desktop option (type “remote desktop” into your start menu to find the gateway).

What are the advantages of trading forex using a VPS?

In order of importance:

  1. To ensure your MT4 platform stays online. It reduces the risk of loss because of power outages or internet disconnections. Look for a VPS provider that guarantees 100% uptime.
  2. Faster trade execution. By using a VPS in the same location as your broker, you’re able to open and close trades much faster than would otherwise be possible.
  3. Assistance setting up your automated software. Some VPS companies will help you install indicators or EA’s if you get stuck.

But.

These benefits only apply if you’re trading using a robot or EA.

There is no advantage to clicking buy/sell inside your virtual private server. Consider the time it takes to click your mouse, then the signal to be sent from your PC to your VPS at the data centre and then to the market will be marginally slower than if you’d opened the order directly on your local PC.

Image result for vps

Here’s a pic of where VPS’s (and supervillains) live. 

The only time a virtual private server is useful is when you are relying on software to trade, or manage your trades on your behalf. We recommend this VPS.

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