Algo trading is the latest craze in the trading marketplace. Many new traders as well as veterans are trying to find suitable algo for trading. Though big traders were already having it in their trading system. But, recently, the retail section of the trading world has found interest in this automated trading section. Tradetron algo has suitable answers for every trader.
There are traders who still don’t rely on algorithmic trading. They mostly depend on their experience and logic for trading in the stock market. But algorithmic trading has some distinct advantages. Traders lose many for emotional reasons. Emotions play a big role that turns into real profit and loss. Many a time traders buy or sell during highly volatile trading conditions. Their intuitions or emotions lead them to do that. Such trading leads them to losses.
Advantages of Algorithmic Trading
But algorithms have distinct advantages. The algorithms are pure logic. Logic created by men is applied to computers to do the trading. These logical applications do buy or sell whenever the signals are generated. Making a profit and making a loss are also done by computers. How much the traders are losing or how much they are gaining doesn’t affect the logical platform.
Thus a profit-making system works for the trader. Unless the algorithm is not right or risk-reward ratio is not set properly, algo trading helps to earn profit in the long run. Algo keeps all emotions of the traders away from the system. So, if the risk-reward ratio is right, traders earn handsomely in the long run. The losing trades gradually become less and less in comparison to profit-making trades.
Applying algorithmic logic for automated trading requires special skills in different programming languages like Python etc. Most of the traders were not equipped with such knowledge of AI and programming. Therefore even the veteran traders did not have any solution to algorithmic automated trading. And many of them did not want to learn or employ a high salaried person to look after their trading. Keeping in view of such difficulties, Tradetron has come up with a very acceptable solution.
Tradetron is the most acceptable solution for algo trading for retail customers. Even for a novice, it is easy to deploy. However, as the trader doesn’t have to know Python or other languages. Therefore it takes very little time to engage in automatic trading. The signals are auto-generated and Buy, Sell, Stop Loss execution is done automatically. So, the person can remain free from all headaches and execution responsibilities. The trading system works for the trader.
Tradetron is an algo strategy marketplace supporting multiple strategies, multiple exchanges, and multiple currencies. Hence, many brokers support these strategies in their trading platforms.
Yes. Not anyone but the subscribers can create strategies in Tradetron.
It takes very little time to start algo trading by using Tradetron platform.
Let’s describe the steps. Go to Tradetron -> sign up -> log on ->Strategy -> chose strategy -> subscribe -> My strategies -> deploy -> go to track the strategies on the deployed page. If the strategy shows active status, it means it is working well.
No. You can not start right away. First of all, you need to inform your broker before trading with Tradetron algo strategies.
So, in Tradetron, one can choose an available strategy and start trading directly or use the pen-paper or use backtesting to see the efficiency of the strategy.
In addition, one can also develop their own strategy in Python, MQL for MT4, AFL for Amibroker or in other supported tools. After that, they can deploy in their own system and backtest. Above all, you can also find subscribers of your own strategy and sell them on Tradetron marketplace. Thus, it can be another money-making business of your own. All pros and cons of this algo platform can be found here.
Tradetron Algo Features
Tradetron has provided many interesting features for its subscribers.
You can build your own algo in Tradetron. And above all, you can build your own strategies and automate them. Now, you can also create algorithmic trading strategies without even knowing Python or any other coding language. Therefore, in this strategy builder wizard, you create your own strategies. Then you can start marketing them to other subscribers from different brokers. In addition to it, as an affiliate member, you can earn monthly commission or subscription charges through your own strategies.
All your strategies can be back tested. And you can test the strategy success rate and the draw down.
The trading engine maintains the strategy. Whenever a signal generates, the trading engine executes buy, sell or repair as per strategy.
Execution of Tradetron Algo
Kinds of Strategies
You can find every kind of trading strategy here to chose from. Either choose directional trading algos which use technical and fundamental data as input or you can find wealth-building algos for buy and hold using input from fundamental data. Else you can use algos for trading in F&O using future and option data and technical data as a secondary input. Moreover, you can use your own algo.
Moreover, in this section, there are many attractive and important features for algo loving traders. You can use Quant strategies by using any mathematical/ statistical data available. And put the algo strategy for trading as mean-reverting or directional trading.
Pair trading Strategy
You can also choose pair trading strategy by selecting a pair of scrips, say SBIN and ICICI bank. Or you can use a pair of indices like Nifty and Bank nifty for trading in algo.
Volatility based Tradetron Algo Strategies
You can also use volatility-based scalping strategies. As for example, one can use theta scalping strategy during low volatility environment. Else use gamma scalping strategies during high volatility periods. Besides this, building blocks of such strategies are based on strangles, butterflies or other complex strategies used singly or in combinations.
Arbitrage and Greek based Strategies through Tradetron Algo
In addition, there are many other algo strategies that can be created for arbitrage. You can also use event-based strategies and focus on corporate announcements. Else use Greek-based strategies based on theta neutral, gamma neutral and delta-neutral trading techniques. Moreover, you can also use algo for market-making strategies like putting a bid and ask price of the same instrument using the existing spread.
How Tradetron Works
Tradetron follows some simple steps. Let us discuss about them.
The Trading Engine
A trading engine, powerful and dynamic, works behind the scene. A well-distributed architecture, connected with multiple data providers backs up this trading engine. Real-time live data feed from multiple exchanges across the globe supports the system. Traders can work on Currencies, Commodities, Stocks, Future & Options.
The Wizard That Build Strategies
Build any strategy, be however complex it may be. Take Volatility Skew or Volatility Smile for example. Using vol skew data build your own strategy. In case, you don’t understand these complex strategy very well, or you want to know more about these complex strategiues, the Wizard will help you. Gather knowledge, get well prepared and then formulate your strategies.
Tradetron’s Backtesting Engine
Once you build your strategy in the wizard, you may need to test its efficiency. This backtesting engine will find strategy efficiency and drawdown. The strategy will work on real-time live data and historical data. You will know the probability of success of your strategy. Even backtest the options strategies using IV and HV, during corporate results and important events and test the efficiency.
This feature is mainly for the newcomers in algo trading. However, newcomers can choose from numerous algo strategies to suit their own requirement. Find algo with backtesting result, statistical analysis and asset type. There are filtering tools to make the search easier. Also, you can choose other subscribers algo if that suits you. As it is, the Tradetron algo has complete transparent data archive to delve through.
This section is for strategy builders who have created their algo and have own subscribers. Therefore, they can manage their funds from the subscription in multiple ways.
Tradetron Algorithmic Keywords
Keywords are very important to build algos. Instead of going through the complex coding process, they can use these readily available keywords to build algo easily. And start algo trading in a very short time. Use these keywords and build single-layered or multi-layered algos very easily. Therefore, with the help of keywords and strategies listed under different heads, a number of Quants, technical, mathematical, statistical and many other strategies can be created.
The report helps you delve through your desired data. As you can find which algo has been fruitful, where you made a loss and when. Therefore you can create more efficient algos. After you find the report you can save them in excel or .pdf.
The Algo Marketplace
Apart from algorithmic strategies and execution, Tradetron has another important advantage. As the heading suggests, it is a marketplace for strategy builders. It empowers the algo strategy buff, the strategy building people to earn in different ways.
Earlier, the strategy building people didn’t have any platform to showcase the efficiency of their strategies. As all depended on the marketing of their strategies as products. But here, in Tradetron, they can find subscribers of their strategies. Therefore through subscriptions, they can earn money. As you can find, there are already some popular strategies there in Tradetron. The strategies are for subscription from algo strategy builders. Retail traders can use this algo with fund capacity of Rs 25k or 50k.
Tradetron is a well-equipped website. Though the technical details are not available, we have tried to give an insight. It is a multi-currency, multi-asset, multi-strategy algo trading marketplace. As it is web-based strategy building platform, you need to build your strategy through Tradetron website only. The strategy builder allows you to point and click on conditions for algo. These conditions are building blocks of algo.
Once you create your conditions and build your strategy here, the strategy starts functioning. Attach the strategy with your broker, pay subscription and boom! The strategy starts running. It will automatically work for you. Only keep a slant eye on it, to avoid technical glitch.
There are many brokers associated with Tradetron. And, some of them allow you to automate your trade freely through Tradetron, other charge fees. Here, the broker’s fee structure is completely dependent on brokers only. There are many brokers like,
- 5 Paisa,
- Nirmal Bang,
- Indira Securities,
- Gill Broking,
So, traders need to follow set up instructions for some of these brokers to trade with Tradetron in their platforms.
Some of the features of Tradetron are free for all subscribers. But there are truly attractive features for which you need to pay a monthly subscription. Here, the monthly subscription starts from Rs 1000. Then it increases to Rs 2500. So, these two are for retail customers. And, for the corporate customers, two monthly subscriptions available, Rs 5000 and Rs 15000.
Tradetron is a powerful tool for strategy builders. Future algo trading should be more common and lead the way. Any person can create strategies without going into coding details and automate them. You can find subscribers for your algo created here. So, you can make profit by selling your algos to your subscribers or do it on profit sharing basis. Tradetron provides you with a complete and structure fee-sharing guideline.
Pros and Cons
Tradetron provides innumerable attractive features for the traders. Earlier, algorithmic trading was limited to big traders. Retailers kept away from it due to the complex technical process.
- Tradetron has served the complete plethora of algos in a platter. A novice can start algo right away.
- Veteran traders can employ their own strategies.
- Earn directly from own strategies through Tradetron.
- Most of all known brokers allow trading using Tradetron Algo.
- Most of all known methods can be used in creating algo.
- Here, all known strategies can be used by using F&O, fundamental, technical, statistical, mathematical analysis.
- Tradetron is the leader as algo marketplace. Algotrading may be the future of trading in the stock market.
- Tradetron is popularizing algo trading. Therefore they have made it extremely user friendly.
- The algorithms run very smoothly once they start working.
- The algorithms are customisable.
- The free subscribers get too minimal features.
- Most of the featuresare for paid members. This can discourage newcomers who want to get a taste of algo before they completely start algo trading.
- There is no trial period for the new paid subscribers.
- Some popular discount brokers like Zerodha, Upstox charge monthly subscription.
- Unless algo trading becomes more popular, many traders may avoid algo trades.
As you have seen, algorithmic trading eliminates the traders’ mistakes in the execution of trades. So, trading becomes a purely logical thing. Also, algo trading eliminates emotional facctors during trading. In addition, trader can engage in other jobs during market hours.
However, Tradetron has seen the advantages and presented this platform for all. Retailers can easily start algo. Algo trading will be the future of trading. Tradetron algo is expected to pave the path for others.