For some traders, this is like a battle to them. Picking the right auto trading software can be very confusing, especially when you don’t know the right steps to do it. You may have heard your friends who are trading in binary options recommending you a particular software, but somehow you find yourself confused as to why they like it and you don’t. This is because part of the steps actually requires you to include your personal preferences. Just imagine yourself inside two clothing stores wherein they provide an almost identical kind of clothing, yet you prefer the other brand. This is because you are more comfortable with your chosen brand over the other.
How about the other steps? The key features below are what you will see from the ones listed at Investopedia, in which you can find out more in detail about it.
Company and Market Data Availability. One of the things that most beginners in using auto trading software is that they tend to forget about this factor. All auto trading systems are created to act on real-time data on the market and the price quotes. It does sound tough at this point, but trading in binary options is a must for this. There are a handful of programs that are customized to take into account for the significant data of the company like the PE and EPS ratios. Any auto trading software should possess real-time market feed, which should also include the company data feed. This should be made available in the system or it can be integrated through alternative sources.
Latency. This is the most important key feature that an auto trading software should have. This is about the time-delay revealed into the movement of the data points starting from one application on to the other. There is a scenario like this detailed at the source aforementioned, where you will get a clearer picture as to how latency is being derived here. As of this moment, this key feature has been lessened to microseconds. Every attempt made to it should be kept as low as possible, especially in the trading system. There are a handful of measures to include in having a direct connectivity with the exchange so as to get the data faster. This is by eliminating the vendor right in between; taking out the broker and then directly send the trades to the exchange in order to save at least 0.2 seconds; or by improving the trading algorithm of your choosing.
Market Connectivity. Traders that are searching to work on across different markets should take note that every exchange they make might provide the data feed in different formats, like FIX, Multicast or TCP/IP. The software of your choosing should be one that accepts different format feeds. Your other option would be to get a third party data vendors like Reuters and Bloomberg, which collect the market data from various exchanges and at the same time provide them all in a uniform format when it gets sent to the end clients.
The last thing you need to do is go through over review sites that compares various auto trading software. You will be able to see which ones are highly recommended and which ones you can start doing your trade with.