What is algorithmic trading?
People hear the phrase algorithmic trading and they think it's something new when in fact trading with an algorithm just means trading by a set of rules.
Here's an example of what a simple trading rule to identify potential buy opportunities on rising stocks might be:
'I will buy 100 shares of Company X when the 50-day SMA crosses over the 200-day SMA.'
Conversely, a simple trading rule to identify potential sell opportunities on falling stocks might be:
'I will sell 100 shares of Company Y when the 50-day SMA crosses under the 200-day SMA.'
*SMA refers to the Simple Moving Average
Both of the transactions are being transacted by a set of simple rules.
As good traders you know that a clear set of rules is important.
Rules enable you to:
Set a strategy and run with it.
Objectively review your strategy and amend as appropriate.
Remove the psychology and emotional aspect of trading.
What algorithmic trading does is just embed rules into software run on computers.
Up until the last few years...
...the cost of computer power and internet connectivity needed to algo trade was prohibitive for private traders. These systems were the preserve of the Central Banks, Investment Banks, Hedge Funds, and the super-rich.
Now the game has changed!
Using a good PC and high-speed broadband the world of algorithmic trading is now available to any private trader.
A good algorithmic system will enable you to
- Set a clear strategy
- Watch and learn what it does
- Allow you to replay and simulate live trades
- Manually trade and switch to auto trading if/when you feel confident
At Inteligex, we believe that simple algorithms are no longer good enough so we have combined AI (Artificial Learning) with our software to give you the singals to either buy or sell.
Our algorithms can instantly react to market changes and because they have learnt from decades worth of historic data they can also predict the way a market is going to move.
We don't guarantee success (and don't believe anybody who does!) but once you've tried our core algorithms we know you'll see how they improve your chances of trading successfully,
We're on a journey to ensure that private traders like you have access to the best tools possible in order to trade profitably no matter what the market is doing. We'd love for you to join us and other like-minded traders on this journey.
Algorithmic Trading Strategy
Algorithmic Trading sounds like the latest thing but essentially it means trading according to a set of rules. Most Traders trade according to a set of rules, these may be simple or they may be complex; they may be using Bollinger bands, a simple moving average, historical patterns etc. but they’re probably using something to help them know when to get into and get out of a trade. What computer technology enables is the automation of these rules so that they can be presented to the Trader. Thus presented these rules can then be used to guide Trader activity.
The key point here is that algo trading = rules to trade by, so you could say a rules based trading strategy is an algorithmic trading strategy.
Because a computer can calculate many possibilities faster than a human, the automation of these rules can give Traders an advantage when trading in the markets. Inteligex offers proven algorithms that have been developed using Artificial Intelligence (AI) to analyse hundreds of millions of market data points. This means it reduces risk and ensures more accurate calculations. Our system is simple to learn and has a clear objective in trading profitably no matter what phase the market is in. Our algorithmic trading strategies generate bespoke trade signals enabling our traders to profit in their chosen market.
We aim to remove emotion behind trading and use pure mathematics to show where to invest; Inteligex at its core is basically a mathematical model so will work on any index including commodities and crypto currencies. Inteligex sets a clear algorithmic trading strategy, learns from the market and also allows you to replay or simulate live trades. Further, in addition to generating trade alerts Inteligex also gives private traders’ complete power by having a full manual option. Inteligex has programmed AI based algorithms to help predict market direction and fluctuations. These Algorithmic Trading Strategies detect market modifications and can intelligently respond to sudden market movements.
Inteligex understands that trading can be high risk and is designed to help maximise profits and minimise losses.
That is why we use our Algorithmic Trading Strategies that have learnt from years’ worth of data and hundreds of millions of market data points to predict market movements. We know what a good algorithmic system should offer and that’s why at Inteligex we want to empower our private traders, giving them the advantage with our quality tools. Our trading strategies are proven to give complete control and are here to augment a Trader’s investment journey.