Algorithmic and High Frequency Trading – The Future of FX Market Analysis?

Algorithmic Marketing

The program, or algorithmic, is simply the use of computer programs to enter market sales orders, with computer algorithm calculations such as inputs such as time, price and quantity of the order to be placed and these system is designed to run without human intervention.

It can be long or short term but most are short and look to make quick profits within a day. The logic behind them is that they can see price variations and revenue from them and not be like someone out there who is not subject to emotions and saves operator time while they are automatically running.

High Frequency Trading HRT

The term High-Frequency Trading (HFT) literally means “trading a system that is firmly focused on speed of execution”. An HFT system can decide to take an order and order in under a second and is used by many institutions. The idea is to get the order first in the crowd and take advantage of price discrepancies and revenue from them. The idea is not just to speed up orders even in bulk, so that the system can easily liquidate the trade. All trades are usually closed in minutes or hours and no position is usually held overnight.

Isn’t it all very amazing and the future of marketing?

As an experienced trader I would say that people want to conquer the market from the start of the business and no one is successful and the reason is clear that markets do not move with mathematical models and a computer does not think it can only be a reaction. A computer can simply react to a move without waiting for it so that a simple system will operate a more sophisticated algorithm – time.

New Names for Loss of Forex Strategies

Algorithm trading is just a word for robot trading that has lost its flavor due to the large amount of systems being sold for public consumption with fake track records that have lost money.

Even more ridiculous is the height of most Forex trading that emphasizes-orders of a nano second to conquer the market and make a profit immediately. All it does is make sure the transaction cost is very high, with no chance of making money. Wasn’t it formerly called scalping or day trading? However, these names are also not tasty on the moon, due to the large number of systems being sold and lost money, so vendors have to look for new names to capture the public’s imagination.

Conquering the market using a computer is not new and algorithmic and high frequency Forex trading, is just the latest hype that claims to have hit the market but seen users disappear.

How to Win at Forex Trading

If you want to win in Forex trading, go the old money making route that is to learn the basics that are easy to figure out and thoughtful think for yourself and you will be happy with the success of Forex trading.