Definition – What does Expert Advisor (EA) mean?
An expert advisor (EA) is a software program that analyzes data and provides a trader with buy and sell recommendations that fit within the trader’s strategy. Much like a trader, an expert advisor analyzes historical data and forecasts future price movements using this data. Unlike a human trader, expert advisors are able to integrate a huge amount of data and process it very quickly for the purpose of forecasting.
ForexTerms explains Expert Advisor (EA)
Expert advisors are algorithmic in nature, meaning they are rule-based in how they analyze data and come up with recommendations. A trader still sets the strategy for the expert advisor – often referred to as the trading model – and the EA finds trades that fit that strategy. Using EAs can enable a trader to run multiple trading strategies simultaneously.