Can You Really Make Money with Automated Trading? (What the Data Says)

Automated trading sounds appealing: no charts, no emotions, and trades executed for you around the clock. But the real question many traders are asking is simpler: does automated trading actually make money, or is it just hype?

The honest answer is yes, automated trading can be profitable, but only under very specific conditions. Strategy quality, risk limits, execution discipline, and expectations matter far more than the software itself. Automation amplifies whatever system you give it, for better or worse.

In this article, we’ll look at what the data actually shows about automated trading performance, why most traders still fail even with bots, and how a rules-based, defined-risk approach changes the odds.

You’ll also see real real performance data from our Weekly Trend strategy, and we’ll show you how to get started, with no coding required.

Autotrading for Beginners: The Complete Learning Path

Why Automated Trading Can Be Profitable

Automated trading systems, also known as algorithmic trading, execute trades based on predefined rules. This means no hesitation, no emotions, and no second-guessing. The benefits are clear:

• Speed & Efficiency: Systems can execute trades at lightning-fast speeds, taking advantage of opportunities you’d miss manually.
• Discipline: Automation removes emotional decision-making, sticking to the plan no matter what.
• Backtested Strategies: The best algorithms are tested on years of historical data before being deployed live.
• Access to Complex Strategies: You can trade multi-leg spreads and advanced setups without needing to manage each leg manually.

But here’s the catch — not all automated systems are created equal. Many traders fail because they use poorly designed strategies or don’t have proper risk controls in place. That’s where a data-driven, risk-defined approach stands out.

Automation handles	Still your responsibility
Trade execution	Strategy selection
Entry and exit timing	Risk tolerance
Emotional discipline	Position sizing decisions
Consistency	Monitoring performance

Proof: Real-World Performance from Weekly Trend

Let’s talk numbers. Our Weekly Trend strategy, which uses risk-defined credit spreads on SPX, has been running since 2013. It risks a maximum of 5% per trade and targets consistent growth without the fear of catastrophic losses. Here’s what that looks like in practice:

Year	ROI	Total Trades	Winners	Losers	Win Rate
2024	159%	157	90	67	57%
2023	429%	136	91	45	65%
2022	76%	84	43	41	51%
2021	325%	140	86	54	61%
2020	318%	141	95	56	61%
2019	192%	151	88	63	58%
2018	97%	124	70	54	57%
2017	243%	151	91	60	60%
2016	136%	127	79	48	61%
2015	242%	116	69	47	58%
2014	367%	126	79	47	63%
2013	535%	124	89	35	71%

This isn’t hypothetical. These are actual, audited results from a defined-risk system. Notice how even in lower-performing years, the strategy remains profitable, demonstrating its resilience in different market conditions.

Why Most Traders Fail (and How Automation Solves It)

Retail traders often fail for one of three reasons:

1. Emotional trading: Panic-selling and greed-driven overtrading destroy consistency.
2. Lack of strategy: Most retail traders don’t follow tested rules — they chase trades.
3. No risk controls: Trading naked options or oversized positions often leads to blow-ups.

Automation fixes these issues by enforcing pre-set rules for entries, exits, and risk. You can’t “revenge trade” if the system won’t let you.

How to Start Making Money with Automated Trading

Getting started is simpler than you think. You don’t need to code or build your own bots. Platforms like Interactive Brokers and Tradier integrate with automation services like AutoShares and Global AutoTrading. This allows you to follow proven strategies like Weekly Trend with as little as a few clicks. Want to learn more about platforms? Check out our guide: Best Automated Options Trading Platforms. And if you want to fully understand how automation works, don’t miss our Ultimate 2025 Automated Trading Guide.

Risks and Considerations

Like all trading, automation isn’t risk-free. Algorithms can underperform in volatile markets, and you need to periodically review your systems. That said, a risk-defined approach (like our 5% max risk per trade) dramatically reduces exposure compared to naked options or discretionary trading.

So, Can You Really Make Money with Automated Trading?

Yes — if you approach it with the right strategy. Automated trading can give you speed, consistency, and access to institutional-grade techniques, but you still need proven systems and sound risk management.

Frequently Asked Questions

Is automated trading a good idea?
It can be, if the strategy is tested, risk-defined, and monitored. Automation removes emotional errors but does not guarantee profits.

Can you really make money with AI trading?
Yes, but “AI” alone is not an edge. Profitable systems rely on sound trading logic, risk management, and execution discipline — whether AI is involved or not.

Can I make £1,000 or $1,000 per day from automated trading?
Consistent daily income depends on account size, risk tolerance, and strategy. For most traders, focusing on percentage returns is more realistic than fixed daily targets.

Is automated trading legal?
Yes. Automated trading is legal  provided you trade through regulated brokers and comply with tax and reporting requirements.

Is AI trading legal?
Yes, AI trading is legal when it’s used through regulated brokers and follows market rules set by bodies like the Securities and Exchange Commission and the FCA.

Why do most automated traders lose money?
Poor strategies, over-leverage, unrealistic expectations, and lack of risk controls are the main reasons — not automation itself.

Ready to Automate? Try Our Weekly Trend

Our Weekly Trend strategy gives you up to five trades per week, all fully automated and risk-defined. You don’t need coding skills or trading experience — just an account with a supported broker and a few minutes to set it up. Start Your Weekly Trend Free Trial