Stock trading is a technology based business. With so many electronic devices involved, it comes as no surprise that automated trading platforms give stock traders a huge boost in profits. It simplifies your investments and maximizes your returns. However, you can only reap these benefits if you have a sound understanding of what makes an automated stock trading software really good.
The following is a detailed list of 3 must follow rules of finding the right automated stock trading software.
1) Learn about the features thoroughly
Checking the features and asking questions is the most important step to knowing whether a software is up to the task. The first thing you should be looking for is the number of technical indicators. The best stock trading programs out there offer hundreds of indicators for technical analysis. Bollinger Bands is an example of one such program.
The next feature you should be concerned with is the ease of use. Some systems are really complex and require programming expertise. Others can be operated in the most simplest of manners.
Another feature you to need to keep an eye on is the number of long and short strategies per account. If you want to run two loading strategies then you may need two accounts.
2) Watch out for advanced software
The more advanced your software is, the easier it will be for you to stay updated and on to the top of your game. You know a software is advanced when it comes with additional features such as displays of Profit and Loss on your current positions and a maximum bid/ask range.
The latest programs in the market allow you to input price points in the auto trader system and warn you with a market order when conditions are met. This so called stealth mode offers is something that you will not find in older systems.
Another characteristic of an advanced software is that it helps you to automatically execute your trading strategy even when you’re not in front of your computer. This is a feature that can be found in only a handful of stock trading systems. These can also simulate strategies in real time before running it live. Thanks to this particular feature, the volatile environment of stock trading becomes slightly less unpredictable. Along with the ability to simulate, these advanced systems can also give you a demonstration on how to create a stock trading strategy.
Last but not the least, modern stock trading software offer you state of the art tech support and customer service that will leave a lasting impression on you.
3) Take into account the cost and software support
Now this is quite a steep task. There are a lot of things to consider before you can take into account the cost and the software support. Start by checking out the initial software and monthly fees.
Then, learn about the miscellaneous fees such as data feed fee, stock charts fee and the ongoing support fee. Once you’ve had a thorough look at the fees, find out whether the fee you’re paying upfront is for a year’s contract.
Some stock trading programs have a separate training fee, so be mindful of that. Watch out for the training formats and system requirements. Look for reports function and a feature that provides trading strategy statistics. A few programs present you with platform to interact with an online community. This can be quite beneficial for a stock trader.
So as you can see from the above list, choosing the right automated stock trading software is a very laborious work. There are tons of things that you need to take into consideration, and you must do all of that in a short amount of time. Be meticulous about the 3 aforementioned rules and you will see your strenuous efforts being rewarded in the form of stock profits.
Engage a stock broker in Singapore to assist you in your stock trading needs.