What are Trading Robots? (And why should I build them?) (Part 1)

Lucas Liew
A free video tutorial from Lucas Liew
Developer and Trader
4.4 instructor rating • 1 course • 35,733 students

Learn more from the full course

AlgoTrading101- Black Algo Trading: Build Your Trading Robot

Trading Robots: The Comprehensive Course That Turns Beginners Into Skilled Algorithmic Traders (Learn MQL4 Algo Trading)

13:19:04 of on-demand video • Updated June 2020

  • Understand how Trading Robots are both an art and science
  • Build logical long-run money-making Trading Robots
  • Code a Trading Robot in less than 1 hour
  • Understand why badly planned Trading Robots fail
  • Learn how to adapt and survive the financial markets
  • Code in MQL4 and easily pick up C++ and JAVA
  • Free up plenty of time by automating trading
  • Start a side-job that doesn’t interfere with office hours
  • Increase your chances of employment in Algorithmic Trading firms
  • Understand the human element in automated trading
  • Differentiate a logical and profitable robot from a scam
  • Be a freelance coder (go do a few freelance jobs and earn back the cost of this course!)
  • Brag about a cool hobby at parties
English [Auto] In this session we're going to talk about three things this algorithm is creating then we will define our version of algorithmic trading that we're going to talk about our tools and do a little bit of a demonstration and to show you what this cost can offer essentially algorithmic trading is trading done by a computer. The computer will be the one to analyze the market after which the computer will be the one that initiate buy and sell signals. And they will be the one that many positions and Chris there are two main types of algorithmic trading versus high frequency type and low frequency type high frequency trading can be characterized as trading where your advantage is in the speed of your clinician. Let's say the same go there but if they so at one they change and change a different process if your computer system in question is fast enough you can buy the cheaper one and sell them once. And if one instantly that is copy crash in high frequency trace they are monitored. It's usually my new but the make up for it in bulk millions of trace goes on every month in the high frequency trading. And they could trip thousands of times in less than a second. Low frequency algorithmic creating is characterized as trading with advantage. It's in a trading model in low frequency trading. The speed of your computer system is not that important. Well we do our algorithmic trading robots. There could be many different types of logic that we use say we can use macroeconomy News. This economy data release us like the now Vampiro on the FOMC policy company fundamentals revenue earnings etc.. Or we could use statistical methods like co-relation many abortion clinic creation etc.. Tenneco indicators Tamiko indicators algorithms that process the data giving us output that could allow us to view the market in a way that offers as an edge market microstructure can be defined as the branch of finance that is concerned with the details of how the exchange occurs in the market for example we could be looking at the structure and the design of the change whether the men who are the dealers and how is retrials etc. How is price form and discover is it action is a negotiator. Well the transaction processing cost of the trips and what is the transparency of the marketing information by understanding the market microstructure we can develop trading models to take advantage of it. We could be looking at the mineable on the order flow be classed as a trap there are too many ways to go about developing algorithms creating robots on this yes or aspart of ISIS. So for this course you'll be focusing on low frequency mathematical models using market Pruden ideology. So let's establish what this means. It pretty easy. This means that our ideas must be fundamentally sound from both a market and a common point of view. Therefore we can say that just because this is a technical indicator may provide some have pretty value. We're going to use it blindly when we develop robots in massive market puton. It must make sense of a market power view. We must know why a robot works or why it doesn't. Mathematical models after we have an idea there is market Pruden we testing to optimize it using a proper statistical framework. This would have developed robots. They have positive aspects in a long run and has proper risk management low frequency trading frequency of our models are less than once a minute. Our strategy does not depend on the speed or the computing capacity of a hardware software or train systems. Therefore we are able to execute our models and our robots using basic software hardware to every retailer Twitter account for the design that it has and execute our robots. We need to know frequentist Foz a. While from using How we going to court our robots. What performers and Ercis software we use to analyze the performance of our trading in the long run software that we need to secure our robot. The second data how to manage data the sources we get out it from and how to clean that attire cetera. The most important part will be our design theory. How do we come up with market put in ideas. How do we better deaded how rebate and optimize our work and how the statistics and finance can incorporate that in our ideas. And after the larger put up how do we maintain and improve it as it goes along. These are the questions that are kaso answer out. Going to use meditator for the coding languages are for. And we're going to use Excel.