A virtual private server, or VPS in short, is a server that appears as a dedicated server to users, but is actually installed on one computer that serves multiple websites. Though the websites are all located on a single machine, they operate independently. The cost of a VPS is much lower compared to a physical server of the same size.
On your VPS, you have the freedom to install an operating system that you like to use, reboot your system as and when you want and exercise complete control over the server as though it is your machine. You are guaranteed some amount of RAM, space and transfer allowance for a month according to the plan you opt for. Your VPS operates on its own dedicated power supply, offering flexibility, convenience and stability.
So, what is the connection between VPS and forex trading? A VPS offers a great deal of benefits to a forex trader. That is why some people make use of the . If you also understand the five key benefits that a forex VPS can offer to you, then you might want to use a VPS instead of using your own computer.
#1: Trade anywhere
If you don’t have a laptop computer and, therefore, are forced to use your PC, then you will have to be at the place where the PC is located. There are alternative options these days, but you may not want to purchase a laptop, smartphone or tab. Further, the broker you are working with may not be supporting mobile trading. Sometimes, you may not like the interface. Moreover, some do not offer an online trading platform and you may need to download the software. In such a situation, you can access your forex trading platform from any place provided you have an Internet connection by logging into your VPS account from an Internet cafe or a hotel and execute forex trades.
#2: Trade even during power outages
If you are a trader that relies on forex robots or expert advisors for trading the market, power outages can wreak havoc. However, you can overcome this problem by making use of a VPS. This is because the VPS would continue to carry out the trades as it will be powered through an alternate source. This means that you can continue to make money even if you are not in a position to go online.
#3: Trade at your convenience
A VPS relieves you from the need to be present at one place to execute your trades. This means that you can trade from anywhere and at any time according to your convenience. Since your automated trading system can place trades even if your computer is not on, you can make money even while you are asleep.
#4: Privacy and robust security
The best companies that provide reliable VPS systems also ensure privacy and robust security. monitor their systems regularly to ensure that the servers are all up all the time. Most companies these days guarantee 99.9 percent uptime. In fact, you will also be generally provided with antivirus software and other tools in order to ensure that your system is well protected from vulnerabilities.
#5: Reduce your slippage
You may not be using automated systems for trading forex, but executing all of your trades manually. A VPS can be of great help in such a situation as well. The VPS would execute the trades much faster than your personal computer. This is because virtual servers operate at higher speeds. The speed of execution of orders is the essence of forex trading. This way you can reduce your slippages. It is a known fact that slippage can lead you to lose money. So, VPS is a great option to cut losses and reduce unpredictability.
In conclusion, avoiding latency and ensuring trading platform connectivity is very important if you want to succeed in forex trading. A delay in execution by a fraction of a second can make or break a trade. Therefore, signing up with a reliable VPS provider helps you to achieve success faster, especially if you are using expert advisors for trading the currency market. However, the cost aspect has to be kept in mind when buying a VPS. You should pay only for what you actually need, that is minimum disk space and RAM required. If not you will end up incurring additional costs, which can add up quickly and eat into the profits that you earn from successful trades.