Skip to main content

Posts

Showing posts with the label Technology

What is Algo Trading

Algorithmic trading , also known as algo trading, is the use of computer programs and algorithms to automatically execute trades in financial markets. It involves using mathematical models and statistical analysis to make trading decisions, rather than relying on human intuition or emotions. Source-shalgorithms Source -Investopedia The process begins with a trader or a group of traders developing a trading strategy, which they then translate into code that can be run by a computer. The algorithm is designed to identify specific market conditions or patterns, and when those conditions are met, it will automatically execute trades according to the predefined rules. Source-Sketchbubble Algo trading can be used for a variety of financial instruments, including stocks, bonds, futures, and currencies. It is commonly used by large financial institutions, such as hedge funds and investment banks, but is also available to individual traders through online trading platforms. Source - ICICI Direc