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What is an Algorithmic Trading System

Many traders who are now using the cTrader trading platform and who previously used the Metatrader MT4 platform call automated trading systems by a name which is not industry standard (Expert Advisor) or simply an EA, this name was made up by the creators of Metatrader and is not used in the financial markets, the correct term is Automated Trading System (ATS) or sometimes Mechanical Trading System (MTS) and Algorithmic Trading.

 

Automated trading systems or you may know them as trading robots are computer programs that automatically open, manage and close positions based on predefined trade rules taken from a strategy specification. To do so, these programs rely on mechanical trading rules and algorithms that aim to find profitable trading opportunities in the market. Traders and investors can turn precise entry, exit, and money management rules into automated trading systems that allow computers to execute and monitor the trades. One of the biggest attractions of strategy automation is that it can take some of the emotion out of trading since trades are automatically placed once certain criteria are met.

 

How To Get Started?

Our current advice is that if you are a new trader Do-Not go down the road of Algorithmic trading just yet, save your money and learn how to trade first, once you understand how to manage positions and read the markets than you can start looking at automating your trading.

 

If Automated Trading Really Fully Automated?

This depends on the type of automated system that is being used, most new traders feel they can purchase or build a trading robot and walk away while it prints money, this is far from the truth and the reason why we stress the importance of learning how to trade and manage your positions first. Many new traders feel that they have found the key to unlock the door to the secret of making money when they discover algorithmic trading, we would like to put a few things straight that will save you both time and money as well as help you invest your energy in the right direction.

 

Purchasing Pre-Built Trading Systems

 If you already have experience trading the markets then you may be interested in our selection of semi-automated trading systems, these are robots that will open, close and manage your risk using predefined settings that you enter into the system.

 

Our Algorithmic Coding Service

If on the other hand you already have a manual strategy or even an idea of a strategy that you feel will be profitable once automated, you can use our custom development service.