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Traders
If you are into Forex trading, think you get an assistant trader who would work day and night for you to analyze the Forex market. Now, this assistant wouldn’t just monitor the market but also spot and execute trades on profitable price discrepancies. In actuality, it would make unemotional and entirely logical decisions.
Sounds amazing, right? But, no matter what you pay, it is impossible to find a human who can work like that. And this is where automated Forex trading systems come into play. These software solutions can perform all the tasks that are beyond human capabilities, and they do so at a much lower cost.
To help you better understand this topic, we will explain what automated Forex trading software is, how it operates, and how to carry out automated Forex trading software development for your business.
Automated Forex trading software is a computer program that allows traders, investors, or institutes to automate their trading strategies. This software checks various Forex markets and scrutinizes ongoing price charts to study their price movements continuously. With this in-depth analytics, the automated software spots and executes trades as per the provided rules and pre-set parameters.
To put it briefly, it takes control of trading activities and eliminates the need for human intervention. Additionally, automated Forex trading software can integrate with accounting software, ERP systems, banking software, and other applications.
Sometimes, automated training software is referred to as Forex robots by many. However, these Forex robots, also known as Expert Advisors (EAs) in the MetaTrader environment, are a specific type of software. Like automated trading software, they analyze market data and execute trades automatically based on predefined criteria. But automated trading software encompasses broader features beyond just being a robot. The software has broader features such as Forex portfolio management, strategy building, backtesting, and more.
Forex auto trader software uses advanced algorithms to carry out trading activities. It operates by:
Additionally, the software can be pre-set to sell and purchase currency at the desired rate.
Tip: First-time Forex auto trader software users are advised to set strategies they are already using manually for trading and test them using a demo account.
Here are the key features every automated Forex trading software must have:
What’s the use of automated Forex trading software if it cannot automate the trades? Automation is the primary and most important feature of Forex auto trader software. It actively examines market fluctuations and even improves its strategies to optimize trading outcomes.
As the trading software deals with a lot of users’ capital, it needs to maintain the highest security level and avoid any data breaches.
Regular Market Updates
Your automated Forex trading platform development should support API integration. It provides real-time market data updates by integrating an API to access and monitor the Forex market into its system.
Automated trading software is equipped with buying and selling options, allowing traders to carry out all trading activities instantly.
Users can deposit and withdraw funds securely, quickly, and whenever they want.
Automated Forex trading software development should focus on creating software that can manage multiple accounts effectively.
An automated trading platform gives complete access to trading history, helping traders to track their Forex payables as well as receivable transactions.
A statistics feature gives a better insight into trading stats required for placing orders. These stats provide average profit/loss on the closed rates for better research.
The Forex trading software contains analytical tools that examine the market and allow traders to apply their strategies.
Here are all the essential steps one needs to follow to develop a fully functional Forex trading platform:
Before building a system, it’s important to first come up with a plan! The same is true for developing trading software; you must create a trading plan citing the trading activities and how the software would work to accomplish them. Make sure to consider:
Once you have a plan in your mind, now the next step is to work toward its functionality. A solid understanding of the market and its complexities is essential for successfully designing the platform.
Trading is inherently risky; that’s why adding risk management tools helps in managing the risk effectively. Thus, when designing the automated Forex trading platform, make sure to add the following options:
Position Sizing allows the traders to select the amount they can risk per trade.
Stop-Loss Order stops the trade when the loss reaches a specific limit.
Take-Profit Orders lock the earned profits on reaching a selected price.
As the profits increase and the price moves to the favorable side, Trailing Stops change the stop-loss levels accordingly.
After the design comes the Forex trading software development stage. Only specialists with the knowledge and expertise in coding, programming, and Forex trading technicalities should be trusted for the development. Further, these experts should ensure to follow the roadmap designed in the previous step and carry the right coding strategies to incorporate all the desired functionalities.
This stage is critical in determining whether the system is ready to enter the market. The software undergoes multiple backtesting phases to enhance its performance based on different performance metrics.
After thorough testing and refinement, the software is finally launched. While the automation in trading software is highly reliable, users should regularly analyze its functionality for guaranteed trading success.
Developing a trading platform that, too, with automated features requires a lot of effort and investment to hire a professional and provide them with all the latest tech stack. However, one can skip this hassle and use our white-label trading software, Shark Traders. Our team of experienced developers and industry experts is ready to deliver a cutting-edge trading solution equipped with advanced functionalities. Contact us to learn more about how we can help enhance trading operations through automation with our high-performance trading platform.