An algorithm is a method or set of stated rules designed to carry out precise instructions.

Algorithmic trading, popularly in the form of trading bots uses designed software programs to trade at high speeds and volume based on specified criteria, such as stock prices and prevailing market conditions.

For example:

A trader uses algorithmic trading to execute orders rapidly when the stock touches or falls below a specific price. The algorithm might specify how many shares to buy or sell according to market volatility. With Alphabot as your trading support, you can sit back and relax, knowing that trades will take place automatically once the pre-set conditions are met.

Behind the scenes:

• An Algo flow of information and decision making per different variables of types of asset classes (equity, forex, derivatives). This inflow of variables is driven by various real-time market data sources and market feeds.
• The predicted prices are taken into account with the variables of the prediction model and trading. LATENCY is a key factor the delay in receiving and processing timely and accurate data points. Alphabot ensures the 0.2 seconds for price quotes to be received and assimilated into the algorithm.
• We have pre-sent build in of predictive models as well as customizable ones for traders and funds with high volumes.
• Back testing is an inherent feature of the model on historical data.
• Once the optimized trade signals are received, the software which is already integrated with your trading terminals should be able to place the trade ad execute within nanoseconds to receive ample benefits of the algorithm.

Various components of the trading ensure pre-trade analysis and variable components are chosen carefully.