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Utilize Automated Trading Software to Increase Trading Edge

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Have you ever thought about how you can automate your trading strategies and increase your edge? Yes or No? Here, you will get to know the basics of algorithmic trading, the benefits, and the risks. Get ready to utilize automated trading software like  Build Alpha . A lot of technical analysis involves surveillance pointers for signals and then trading based on the signals. What if you could program a computer to mechanically and automatically recognize these setups and enter trades automatically? Isn’t it good if you free yourself from giving trading instructions to the system continuously? Yes, this is possible. Computers are much better than human at doing the math. If an individual can recognize setups that make you the most capital, so can a computer. In fact, computers are quicker and more accurate than a human being at solving math problems. So, why not to tell the machine what the norms of the game are and let it trade for you. These days, much automated sof...

Using Conditional Probabilities To Gain A Trading Edge

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Much of trading can be broken down as conditional probabilities. And there’s a distinct benefit in understanding what is likely to happen if some condition (or set of conditions) is true or not. Build Alpha :  For example, is tomorrow more or less likely to close higher if we are above the 200 day moving average or below the 200 day moving average? However, there has been much talk about seasonality as we approach summer trading. For that reason, I would like to share some simple graphs showing how the big stocks and ETFs fair on each day of the week. In other words, do certain stocks or ETFs perform better on certain days of the week or is day of the week meaningless/random? BuildAlpha :  We have all heard about “Turnaround Tuesday” for the S&P500, right? How about buying Gold on Friday ahead of the weekend? Let’s see if these market axioms are true (they are). Below are charts showing the gains achieved on each day of the week for each...