Algorithm or Algo Trading is a systematic way of trading in stock markets which involves highly programmed algorithms. It certainly has a huge potential in larger markets such as the US, India, and China. Stock markets have always been unpredictable and hence, a lot of complications have risen in trading. Humans are multi-tasking but trading in stocks involves a lot of calculations and analysis which is hectic even for humans.
Therefore, we are here to give a few valid reasons as to why you should choose the Algo Trading over traditional trading.
1. Technology Driven
Algorithm Trading was first used in the US in the 70s using the Designated Order Turnout (DOT), and since then there has been no turning back. Algorithm Trading works on cutting-edge technology to give a hassle-free experience to the traders. In an era of artificial intelligence and bots, it becomes a necessity to move on from the traditional ways of trading and choose a product with relies heavily on technology while giving favorable results at the same time.
2. Quick and Responsive
We all are aware that the profits can change within seconds on the stock market. Traders have to be quick with the buying and selling of shares and that’s how algorithm trading comes into play. Algo Trading is quick and responsive to the stock market, you don’t have to worry about the timing and stick to the screens in order to buy or sell shares, all you need to think about is how you can make money from your strategies.
Algorithm Trading is multitasking and can perform several sets of functions according to a predetermined set of coded instructions. Since it is automated, the traders can anytime change their strategies and can work according to their preference. Automation makes your trading easier than the traditional ways of trading.
4. No Involvement of Human Emotions
Traditional trading might get influenced by human emotions while computers work on logic and commands given by the user. Algo Trading is programmed only for trading which works taking historical data, charts and user’s commands into consideration. A discretionary trader might risk his money by choosing stocks of a company that is well known to people rather than seeing the trends going with the company.
Most of the traders are in a dilemma, feeling Algorithm Trading is expensive. But we at Online Algo Trading provide you the best experience of Algorithm Trading at the cheapest price available in India. Also, we’re giving our customers to use the platform a 7-day trial of the product for free. Check out our pricing by clicking here.