Algo trading is a platform that runs through algorithms and it does not have a human touch. Metatrader 4 is an automated trading system that removes emotional responses from humans throughout the whole trading process.
Back trading is a trading method that uses historical market data to evaluate the viability of an idea. When designing a system for automated trade, all rules need to be clear-cut and accurate so that there is no room for mistakes in computers and it cannot make assumptions or any guesswork.
To manage trading plans consistency is the base foundation. If a trading plan has the potential to become profitable, the traders who ignore these rules and alter this system will disrupt the market flow.
Algo trading/Automated trading makes sure that the trades are executed according to the parameters set and also eliminates the need for human error that could lead to loss.