Software for Automated Trading and Signals Generation for Forex, CFDs, Stocks, Options, Futures

What is Algorithmic Trading and Artificial Intelligence?

According to Wikipedia, “Algorithmic trading, also called automated, black-box or algo trading, is the use of electronic platforms for entering trading orders with an algorithm which executes pre-programmed trading instructions whose variables may include timing, price, or quantity of the order, or in many cases initiating the order by a “robot”, without human intervention.

Artificial Intelligence (AI) can be defined as “the intelligence exhibited by machines or software, and the branch of computer science that develops machines and software with intelligence.” And again as the “the study and design of intelligent agents, where an intelligent agent is a system that perceives its environment and takes actions that maximize its chances of success”.

Why do people fail in making money trading?

 The main reason why people fail to make money by trading in the financial markets is not due to lack of knowledge or tools, but most of the times is lack of discipline. Until they make money everything is ok and the discipline is not an issue; as they lose the first trades, they get eager to recover the losses, and quite often this “urgency” creates an undisciplined way of trading.

The main mistakes coming from undisciplined trading are:

  • anticipating the entry points;

  • not closing losing trades;

  • closing winning trades too early;

  • making operations even if the trading signal is not there;

  • increasing the value of the trade against money management principles.

What do people need to make money?

A good way of overcoming the problem of staying disciplined is to have a software that generates trading signals (without necessarily being 100% automated in processing even the actual trades) or a trading robot that decides when to enter into a trade and when to close it; by having a trading software or robot that will guide you in avoiding the main mistakes you will (probably) avoid trading in an undisciplined way.

Advantages of automated or semi-automated trading

No emotions

The first advantage and by far the most important is that you will be not emotionally vulnerable, if you follow the software 100%.

You will stick to the principles of the trading style embedded in the robot or software code, and you will not vulnerable (or you will be much less vulnerable) to fall into undisciplined trading faults.

More trading signals and more trades

The software or robot will spot more trading signals than you and, if it is fully automated, it will make more trades than you manually processing the trades. Not only that but the robot can follow more than one pair and/or execute trade in more than one account.

Multiple pairs, multiple timeframes and multiple accounts is a normal situation for a trading robot, but almost impossible for a human being.

Automated trading

If the robot is a 100% hands-off software, it will trade for you anytime you want: whether you are working or having fun, during the day or during the night, the robot will indentify and execute trades for you.

TradingMatica has selected the best performing trading systems based on algorithmic trading and artificial intelligence trading software, and this means:

trading techniques, trading software and mentoring trading courses for futures, stocks and stock options based on statistical evidence and mathematical algorithms.