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Automatic trading is an automatic occurrence in deed, and many bots are design to respond to news, tweets, and all kinds of things. That said, if you really thi

by x0054 12y ago

Automatic trading is an automatic occurrence in deed, and many bots are design to respond to news, tweets, and all kinds of things. That said, if you really think you can write a bot that can do really good in the market, why not just make one. For the sake of argument, just assume that you can confirm a trade in 1-5 seconds, make a bot that just does fake trades, give it $10k in fake currency, and let it play. Come to think about it, such a system, with an API, would be really nice to have. Something that allows anyone to create a trading bot and see how it performs. Any one what to make one? :)

IkmoIkmo 12y ago
These APIs exist, and many of them allow two cool things: 1) Virtual money. So you can try out your bot and see how it'd do without risking money. (with $10k on say the Forex market which trades about 5 trillion per day, it doesn't matter if your trades are virtual) 2) Backlogging. So you can write a bot that'll analyse prices, volume, the orderbook etc of any moment in the past 6 months, which allows you to immediately simulate your bot's success in that market over a long period of time. (of course this is if you want to write a bot that analyses the exchange data, as opposed to things like news, for which you'll need to find your own database going back 6 months which isn't too hard btw, but a lot of data to process quickly).
def_illiterate 12y ago
I imagine there would be pretty good money in licensing an API. That's probably where the real money is--let the idiots make the trades, and you sell them the software.
- x0054 12y ago
  Yep, it's like the someone else said in one of the other comments, don't dig for gold, sell buckets and the shovels to those who do. :)
  - noir_lord 12y ago
    Always heard that as "In a gold rush, be the one selling pickaxes"
gnaritas 12y ago
Those systems exist, Metatrader, TradeStation, NinjaTrader, and people do exactly that and have been for years.

by x0054 12y ago

IkmoIkmo 12y ago

These APIs exist, and many of them allow two cool things: 1) Virtual money. So you can try out your bot and see how it'd do without risking money. (with $10k on say the Forex market which trades about 5 trillion per day, it doesn't matter if your trades are virtual) 2) Backlogging. So you can write a bot that'll analyse prices, volume, the orderbook etc of any moment in the past 6 months, which allows you to immediately simulate your bot's success in that market over a long period of time. (of course this is if you want to write a bot that analyses the exchange data, as opposed to things like news, for which you'll need to find your own database going back 6 months which isn't too hard btw, but a lot of data to process quickly).

def_illiterate 12y ago

I imagine there would be pretty good money in licensing an API. That's probably where the real money is--let the idiots make the trades, and you sell them the software.

x0054 12y ago
Yep, it's like the someone else said in one of the other comments, don't dig for gold, sell buckets and the shovels to those who do. :)
- noir_lord 12y ago
  Always heard that as "In a gold rush, be the one selling pickaxes"

gnaritas 12y ago

Those systems exist, Metatrader, TradeStation, NinjaTrader, and people do exactly that and have been for years.