In this guide, we’ll help you find the best Algo Trading Software or automated trading platform in 2022
You may have heard about algo trading if you are a stock trader, as it has gained tremendous popularity in recent years.
So, what precisely is algo and automated, and how do they function?
This post will introduce you to algo trading software and some of the best algo trading software in India that may help you increase your stock market profits in India. So, let’s get started.
What Is ALGO Trading Software?
Algo means algorithm, and algo trading is the process of trading stocks using algorithm-based software. Using pre-programmed trading instructions, algo trading software automates all of your trading activity. These instructions are determined by variables such as price, time, quantity, or any other mathematical model.
Traders can program their algorithms to execute buy and sell orders based on predetermined conditions. Automated trading software allows traders to make orders without constantly monitoring live prices or graphs. When an algorithm recognizes a favorable trading opportunity, it can automatically execute the trade. It helps traders boost their trading speed and precision, so they never miss out on a good bargain.
How Does NSE Encourage Algo Trading In India?
There are numerous methods in which the NSE allows algo trading with third-party algo software. Let’s examine some of the ways:
- NSE delivers all relevant data to algo vendors and traders after analyzing the current market situation and, if necessary, previous data.
- NSE conducts research using the greatest research tools and software packages to assist traders in developing the most effective trading techniques and concepts.
- Moreover, NSE makes it easy for traders to use algorithms. Traders can quickly construct strategies with automated software without understanding step-by-step coding.
- NSE provides crucial historical [data] and additional datasets for back-testing financial strategies.
The Best Algo Trading Software For Automated Trading
Let’s examine the benefits and downsides of the leading algo trading software in India. It will assist you in locating the automatic trading software that best meets your trading needs and preferences.
1. AlgoTraders – Best Reliable Algo Trading Software
AlgoTraders is one of India’s most prominent open source algo trading platforms. Its most recent version employs an Esper engine, which enables it to run at a very high rate of speed. It can process 5 million events per second. In addition, it provides an excellent trading experience with its user-friendly interface and reporting tools.
2. Zerodha Streak – Best For Back Testing
If we talk about the highly-rated Algorithmic Trading in India, Zerodha Streak algo trading platform, one of India’s best algo trading software, is exclusive to Zerodha subscribers. Traders can manage and arrange their trades while on the move. Using features such as notifications, advanced strategy building, multi-time frames, dynamic contracts, and more, this robust automated trading software in India ensures you never miss a trading opportunity.
3. Robotrader – Best Cost Effective Algo Trading Software
Popular automated trading software in India, Robotrader by Tycoon Pacific, includes a multi-user plug-in that allows several traders to use the same instrument. In addition, traders can establish a maximum risk percentage that instructs the Algo trading software when to cease trading. In addition, this Algorithmic Trading Software enables traders to customize their methods without coding by mixing specific factors.
4. AlgoNomics – Best For Multiple Trading Strategies
Next in our list of the best Automated Trading Platforms is AlgoNomics. It is the best free algo trading software for retail investors that employs various trading strategies to assist traders in avoiding trading losses. Users can define their strategy or use the software’s predefined strategies. Traders can also employ numerous tactics during trading, which can be interrupted, stopped, or altered at the user’s discretion.
5. Zerodha AlgoZ – Best For Technical Analysis
Zerodha AlgoZ is an additional tool offered by Zerodha that enables fully automated trading in India. It is one of India’s oldest and best algo trading platforms, especially for automated backtesting, which was introduced in 2013. It suits traders seeking a robust technical analysis tool with excellent customer service.
6. RoboTrade – Best For Automated & Manual Trading
New algo trading software on the Indian market automates the stop loss procedure. The platform allows traders to implement and test their trading methods through automated manual trading. The software employs artificial and robotic intelligence to support automated trading on the NSE, MCX, BSE, and F&O markets.
7. TradeTron Tech – Best For Event & Quant Based Algo Trading
Are you still seeking the best Software for Algo Trading in India? TradeTron is an entirely automated trading software that facilitates algo trading without the need to write a single line of code. Numerous tools enable you to conduct fundamental and technical analysis, backtesting, social trading, and more. In addition, TradeTron Tech permits traders to test various trading methods on the Indian stock exchange.
8. ODIN – Best For Risk Management In Algo Trading
If we talk about the best automated Algo trading platform, ODIN enables traders to conduct transactions automatically, depending on their chosen strategy. Among the tactics available to traders are spread, trading options, momentum, and execution-based. With ODIN, customers have complete control over their execution direction and may automatically rewrite and adjust their objectives by the execution plan.
9. MetaTrader 5 – Best For Professional Traders
Previously known as MetaTrader 4, MetaTrader 5 is a multifunctional Algo trading platform. This automated trading software enables traders to trade commodities and stocks, whereas the previous platform was focused on the FX market.
10. EToro – Best For Copy Trading
The copy trading function of the eToro automated trading software enables users to put their whole portfolio on autopilot. You can open an account with a $10 minimum deposit, but you must invest $200 per trader to begin copy trading. You can imitate the trading styles of specific skilled traders and use the algo trading platform without incurring fees.
How To Use Algo Trading Software Effectively?
Traders using best algo trading strategy on the Indian stock market should focus on the tactics outlined below.
Trading Knowledge
A competent trader must have extensive knowledge and comprehension of the stock market. To improve it, you can study investing-related books, test some trading strategies on the live market, follow specific blogs, listen to podcasts, and get knowledge from other sources.
Quantitative Analysis
To master Algo trading, you must practice and strengthen your understanding of time series and statistical software. In addition, quantitative analysis will aid in developing superior trading strategies and investigating historical market data.
Programming Skills
Although some Algo trading platforms allows you to trade without writing any code, programming expertise will offer you a competitive edge. You can begin learning and frequently practicing programming languages such as Java, C++, etc.
Key Features Of Algo Trading Software In India
Here is a list of features that can be used to choose the best algo trading software free download in India.
Back Testing
Backtesting is a crucial component of efficient trading. It is an excellent method for traders to evaluate the profitability of their trading strategy in terms of gains and losses. Based on your data, backtesting uses historical market data and reconstructed deals to determine how the stock would have done in the past.
Number Of Trading Strategies Allowed
Check the number of trading techniques permitted by the automated trading software you’re considering purchasing. Specific methods limit the number of strategies you can use with their free plan, but you can obtain additional strategies by paying a charge. Additionally, you should consider the available space on your system, as several accounts use RAM.
User Friendly
You do not need to waste time learning a complicated trading system and miss out on market possibilities. There are algo trading systems on the market that need users to have programming or coding expertise, while others provide a more straightforward option. You can evaluate both types’ trial versions to determine which best meets your needs.
Reliability & Performance
Ensure that your algo trading system is multithreaded, memory-efficient, and constructed with a concurrent architecture.
FAQs On Algo Trading
What Is Algo Trading?
Algo trading, also known as algorithmic trading, automates your financial trading activity using pre-programmed trading instructions and automated software.
What Is The Best Software For Algo Trading In NSE?
Zerodha Streak, AlgoTraders, and ODIN, among others, are some of the top algo trading software for NSE in India.
How Does Algo Trading Software Work?
Algo trading enables traders to program their algorithms to execute buy and sell orders under specified conditions. In addition, Algo trading automatically places orders on your behalf, eliminating the need to monitor stock prices in real-time. As a result, it ensures that no profitable trading opportunities are missed.