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Mistakes to Avoid with Algo Trading: 10 Things to Consider

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Algorithm-based trading no doubt provides one of the best automated trading solutions for traders to execute trades with different types of strategies as per the market conditions.   Algo trading   software is capable of performing multiple transactions using pre-defined strategies with the option to choose, create or customise own strategies as per the risk profile and reward expectations. And nowadays most of the institutional traders, including retail investors and regular traders, are also using the Algo trading to trade in different market segments. Using such advanced trading software, you should have specific knowledge and skills with various other technical aspects to avoid mistakes. Many traders ignore such mistakes, resulting not being able to efficiently utilise the power of Algo. Moreover, you will also not get the desired results or may incur unexpected losses when trading with Algo. In this respect, we bought a few important things that you need to consider to av...

Best Technical Indicators for Long-term Investment Strategy

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Investing with a long-term perspective can give you better returns, and there are fewer chances of any risk, except unexpected situations. For long-term investment, you can use fundamental analysis to analyse the various factors that can affect the stock price in the long term. However, for long-term buying, you need to take a little help from technical analysis and use the  technical indicators .  This will help you grab the stocks at lower levels, increasing your rate of return on such long-term investments. In technical analysis, multiple indicators can be used, but for the long term, only a few of them are useful. Let’s talk about which one is better for a long-term investment strategy. Top 5 Best Indicators for Long-term Investment: 1. Relative Strength Index (RSI) for Long-term investment The momentum oscillator will help you to know if the stock is trading in an overbought or oversold zone. It measures the speed and change of price movements to represent trading conditi...

Positional Trading Strategies for Long Term Trading Strategy

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  Trading with a strategy in the stock market will not only improve your chances of success but also minimise the impact of potential risks. For   short-term or intraday trading , you can use various types of trading strategies, but positional trading, buying any stock on the basis of   fundamental analysis , would be not enough. Here you need to follow the right trading strategy. Positional trading is like holding your trade position for more than one day, and that could be a few days to a week or a month. Because of this, positional trading is also known as long-term trading that involves the trading activities while holding the stocks in your  demat account . If you are interested in such trades, we have brought here a  long-term trading strategy  suitable for positional trading. Top 3 Positional Trading Strategies The main motive of exploring such strategies is finding the stock trading at lower levels and likely to bounce back in the upward direction. ...

Best Technical Indicators for Long Term or Positional Trading

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  In stock market, technical indicators are mainly used for  intraday trading  or  options trading , but they can be used to enter into positional trades or for long-term trading. Fundamental analysis is considered mainly for long-term investment but many investors still use technical analysis or technical indicators to buy a stock at the lowest price or at the best point to get the maximum returns. In technical analysis, you can find multiple  technical indicators  available that you can use for day trading or short-term trading. But for positional trading, only a few indicators are more useful and can give you a more reliable indication to enter or exit from the positional-based trade positions. So, right here we are going to discuss about the best indicators for positional trading or you can sue for long-term trading. Best Indicators for Positional Trading: Exponential Moving Average Exponential Moving Averages (EMV) is one the most popular technical ind...

What are the Most Popular & Profitable Algo Trading Strategies?

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  Algorithmic or Alog-based trading is also very popular in the stock market to get better returns compared to traditional human intelligence-based trading. It is not only giving better returns but also doesn’t need too much time to take the decision and execute the transaction, every trade happens within a fraction of a second, backed with AI-based algorithms. Traders across the globe use the  day trading algorithm  and make hefty amounts of money in the  equity  market,  commodity  and  forex trading . If you are also interested in trading try the Algo-based trading where multiple types of strategies can be applied as per the trend and sentiments of the market with better chances of getting returns from trading. Algo-trading software has all  types of strategies  fed through the algorithms and you just need to activate or enable which strategy you want to use while trading in the market. Here you need to understand what are trading str...

What are the Advantages and Disadvantages of Quantitative Trading?

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Trading in the financial markets is becoming more precise with new technologies and innovative ways of analysis. However, the manual trading approach is still more popular and reliable, especially among traditional traders. But, a paradigm shift is also visible among all types and age groups of traders and investors who are now also opting for automated trading solutions for more efficient trading experience. Algo trading  and quantitative trading are one of the popular forms of trading you can use to trade in  equities  or other financial instruments. In our other articles, we have already discussed Algo trading, in this article, we are going discuss quantitative trading, and what are its advantages and disadvantages .  This is also called quant trading let discuss about it and its trading strategies. What is Quantitative Trading? Also known as quant trading, this trading technique consists of the procedure of quantitative analysis, which means the trading decisions...