BASIC FEATURES NEEDED FOR A GOOD ALGORITHMIC TRADING SOFTWARE
When you want to use Algorithmic Trading you must have your trust in the software that you use so that you get the best value for your hard earned money. Therefore, it is absolutely necessary to have the right piece of the computer software so that you can ensure accurate and effective execution of trade orders every time. If you buy or build faulty software or even software which does not have the required beneficial features in it can result in huge loss for you. Therefore, you must know and look into the key features of the software.
If you want to buy or even build good software you must take the help of professional and reputed financial software development company to get the best result. Buying software can be an easy and quick solution but building one can also enable you to customize the software according to your need and give the optimum flexibility. You have to be also aware of the fact that ready to use software can come with loopholes and affect your transaction in adverse manner and if ignored can result once again to huge loss. On the other hand, building one all by your own can take time and may or may not be fool proof even.
Therefore, if you want to eliminate all these risks it is best to search a reputed company like the Fintech Software Development and buy authentic software to be safe. As the risk involved in automated trading is very high, you must be sure that the software has the basic features to give you the desired result. It must be able to act on real time price quotes and market data. Connectivity with different markets is also an important feature which it must have as you would want to work with multiple exchanges and have the ability to accept feeds in different formats and also process all aggregated feeds from a third party source.
The most important factor of good Algorithmic Trading Software is latency. It might be a small word but it is the time delay which is introduced in the movement of the data points in different applications. As price quote can change a multiple times within a period of 1 second, this delay can cause you huge loss and therefore this latency should be at the minimum. Any good software will reduce it to microseconds with direct connectivity to the exchange or by eliminating the broker to save valuable microseconds so that you can trade better and faster.
You must look out for the customization and configurability of the software along with the functionality to write customized programs, features of back testing to see the performance in the software which you intend to buy. It must also have plug and play integration with different trading interface, and most importantly find out whether it has the ability of programming irrespective of the platform and does not need a dedicated one. Once you are sure that your software has all the above features, you can be sure that it will function well to give you the best result.