market data. StockSharp

Principles for trading cryptocurrencies part 4

2020-09-22T13:21:42Z

In today’s article we will review the significant part of trading analysis – trading volume.[happy]

Let’s explain what trading volume is – the whole amount of cryptocurrency units which trade on crypto exchanges that are traded on base of executed orders within considered period. Obtaining this volume is important that’s why there’re many charts of trading volume. For example the program software for downloading market data S#.Data(Hydra) easily can build trading charts and trading volume charts, giving the trader to see and compare them in one work space flow. Definitely it will give you a wide picture for further analysis. [wink]

For the analysis itself it’s crucial to know the volume indicator that occurs by reaching some fixed price level. Given information is a signal to start a trade or the opposite – to wait. Volume chart can be vertical or horizontal, however the first one is more used by traders, [nerd]
By building the graphs based on download market data in Hydra it has the same time period as for candlestick chart and displays in the form of bars.

In short words, if a trader builds a graph by trading volumes over the past 30 minutes then the bar value will indicate the whole cumulative volume of 30 minutes.[ninja]
By fact, one of the options using charts is to find the end of correction movement in a trend. Thus, if the volume increased dramatically by the price which the direction is opposite to the trend therefore it might indicate the end of the trade itself. This moment might be benefits for trade in the direction of a trend and often used for trading robots, particularly in a constructor of trading robots - S#.Designer. [love]
Also, you should keep in mind that a big trading volume of cryptocurrency not always indicates for beneficial price movement the cause of might be set aggressive orders.
In any case, if a trader gets an opportunity to use such financial instruments for analysis it will lead to reducing risk and gaining profits!

Potential risk of cryptocurrency market!

2020-08-25T12:34:08Z

Nowadays many experts concluded that cryptocurrency market is a financial bubble and its capitalization is blurred and unconfirmed.

However, in the light of growing algo traders and popularization of cryptocurrency, also as a form of cashless payment, might question the expert’s opinion about market decline. [laugh]

In any case, an algo-trader must consider all risks related to market fall.[smart] And with a help of trading software which can consolidate trading data and base on this data to build all necessary indicators. S#.Data(Hydra) is a great solution for managing market risk analysis. Hydra allows you to collect all market data and trade related data where a trader will be able to analyse market trends and make a right decision particularly any financial asset.

The forecasts of cryptocurrency market and crypto-trading are different of their development measure. So, the value of cryptocurrency market is estimated in hundreds of millions of dollars and its capitalization continues to grow. Therefore, crypto-trading becoming popular form of trading and in many cases more accessible to trade.

Traders have no fear of recent China announcement about regulation of blockchain industry, where some standards will be involved and function in China.

Let’s highlight the most common risks of cryptotrading:

- A myriad of different crypto tokens and therefore you will face a challenge and confuse to pick up a right one to trade
- The lack of proper regulation what lead to fraud in the market
- The lack of information of crypto capitalization of market cap it is under question
- A right choice of your strategy and trading software

However, it should be said that these cons also have some pros for traders, for instance a big choice of trading securities and access to it, ability to enter any market because of large number of platforms, multiple trading solutions and trading systems![happy]

The StockSharp company gives you a full list of everything you need for successful trading with minimal risk. You can buy our connectors to connect the most popular and famous cryptocurrency exchanges as well as program software which able to analyse the market condition and trends to make a right decision without any loss. More information about our products you can find on our website.

Potential risk of cryptocurrency market!

2020-08-25T12:34:02Z

Algo trading: What it means for Stock market? Part 2

2020-07-29T13:57:19Z

In previous time we’ve reviewed and analysed trading software for algorithmic trading. Let’s continue our analysis of trading systems.

- The next system will make volume analysiss of orders by tool and will determine the largest one. This system we call - Front running. A robot makes a decision where the largest order holds the price and force traders to trade in opposite direction.

- Another popular trading system is arbitrage algo robot. By trading with this robot the trade continues by the tools where correlation of is almost equal to 1. By tool we meant stocks and futures. Shares of the same issuer in different markets are also used. The robot monitoring price flow of financial instruments and make mirror trades, sells one out and buys another to balance the price. One of such robots is "Edward - scissor hands" which is a product of StockSharp company and able to do arbitrage trading and make a profit for traders.

- One of the most complex in terms of knowledge and technical base is volatility trading. The original principle based on buying options of different types, taking that a potential growth of volatility of a securities with expectation that the volatility of a certain securities will growth.

All represented types of algo trading have a myriad of trading systems. Our company developed such programs as S#.Designer which allows traders to trade in any direction. The trader have an opportunity to build a robot with help of constructor and sets any parameters for strategy.

More about S#.Designer you can find on our website.

Algo trading: What it means for Stock market?

2020-07-22T13:29:32Z

Algo Trading's gained a big popularity in both Stock and Derivatives markets. These markets let you implement all features of algotrading.

It's very common nowadays to use automated trading software and trading advisors by both big corporate and private companies. In both cases the competent use of the capabilities of robots is a vital tool which can reduce the risk that the level of profits forecasted might not be achieved along with all possible losses. The most active market maker is typically a large bank or institution, some of them are HFT divisions of Deutsche Bank, Goldman Sachs, Morgan Stanley and so on.

Let's review some types of algotrading which are widely used in Stock market:

- Trading systems which use technical indicators which can help to predict market performance and behaviour.

- Trading robots that use a ratio on several tools, which have a relatively large percentage of correlation while it is not equal to 1. Tracking the deviations of these tools, the robot is selling and buying making a profit.

- Broadly, a market maker is a trader that provides liquidity to both buy and sell products. Without market makers, there would likely be little liquidity and the system works because of market liquidity. The market maker get benefits and rewards from the trading platforms regardless the profit or loss.

With our programs, such as S#.Shell и S#.API you can create any types of trading robot. The software let your ability to create your own graphic interface to work with, and the API library can create a whole trading system. More detailed information you can find on our website.

Familiarity with algorithmic trading.

2019-10-23T12:31:08Z

Before you start talking about algo trading, you need to define it.
So, what is algo trading? There is a different definition of this concept, only its essence and the principles on which the work is based remain unchanged. Algo trading-trading, which takes place through a fully automated algorithm, which prescribes the trader, the execution of which potentially brings profit to the trader. In fact, it is a program that carries a sequence of actions. [nerd]

The trader himself makes and determines the sequence of applications for purchase or sale, indicating the order of management of his funds.
The money management conditions set by the trader as program parameters determine the necessary or optimal size of investments, for example, purchased securities. Similarly, this system manages the allowable loss or risk at which the size of the loss will be acceptable. In this case, risk management is performed by setting the stop loss algorithm.
The absence of feelings and emotions in the algorithmic program allows to avoid nervous breakdowns or other emotional outbursts. This is certainly a plus, since the work of a trader often occurs on the verge of nervous tension, and sometimes a person can lose his nerves, which will entail a rash step and as a consequence of loss. At the same time, the trader has the opportunity to intervene in the work of the trading strategy, making the necessary adjustments. [laugh]
The task of algo trading is the exact execution of the instructions of its system. Often in some sources you can see the name of mechanical trading systems (MTS), but algo trading is the most common name. In fact, the algorithm is " mechanically " executed by the program, excluding judgments about the market situation and the state of various instruments. I must say that the "mechanical" system is not always automated. The latter, unlike the first, independently makes transactions, with the participation of a person is not required or minimized.

Experts note that the algorithmic trading consists of two stages. Let's take a closer look at them.
At the level of the first stage, the trader creates his "mechanical" strategy. After creation, the process of testing on the market data, and subsequently, when the strategy reaches the desired level of potential profit, testing goes into real time or real trading. Note that the last stage takes place when using minimal capital, as it is testing, and some traders prefer it to "trade on paper". At the same time, profitability is not the only criterion that gives an assessment of the efficiency of the strategy.
Let's talk about the means of creating and then testing the created strategies. Such tools may include special programs designed for technical analysis of algorithmic systems created. The most famous are: carried out using specialized programs: MetaStock, S#.Designer, Wealth-Lab, Tslab and others.
The strategy program is written in various programming languages such as: C#, C++, LUA and others. The recorded algorithm makes it possible to use the downloaded market data to test the strategy, and in the future allows you to place orders in the programs used for trading. It is worth noting that strategies can be created as in constructor programs for example: S#.Designer, Tslab, in which the strategy is created on the basis of cubes, and the program is a scheme, and in programs where direct programming is used MetaStock, Wealth-Lab, including using ready-made libraries, such as S#.API.
The second stage of development begins after the trader's strategy has been fully tested and is ready for real trading. The second stage is implemented approach strategy or a trading robot that will trade the set algorithm or the trader selects the manual bidding process on a signal received from created strategy.
The trader connects the export of stock market data obtained in real time to the program in which his trading strategy is created. The strategy processes the data and based on the result, sends a signal to submit applications.
Again, what alarm action strategy can be done manually by a trader, and can be delegated to a trading robot, which places bids automatically according to the algorithm, for example in systems like S#.Designer, MT4, TSlab.

It should be remembered that the creation of a trading robot does not relieve the trader of responsibility for the trade itself. The trader must constantly monitor the work of his robot, edit the terms of transactions according to the changing situation in the market. [nerd] Should be said, when working on long time frames, comparable, for example, with an hour, the automation of placing orders may disappear, since the trader is able to correlate and manage the trade on long periods.
Any chosen direction of algo trading can undoubtedly bring profit to the trader, but the approach should be deep, not just at the level of the chosen algorithm, it is necessary to take into account the tools on which the trade will be conducted, the software. An important rule is analysis and testing, it always minimizes your losses.

How to plot the indicator in the program Hydra.

2019-08-08T13:13:48Z

To simplify the work with indicators, you can build and save them in Hydra.
Let's consider the order of construction of the chart of the indicator of exchange trade on the example of the indicator SMA (simple moving average):
1. Run the Hydra program.
2. Select the stock data source. (1.1)

3. Right-click, and in the drop-down list select View Downloaded (1.2)

4. Select the “chart” icon and plot the history of stock quotes (1.3) (1.4)

5. Right-click in the chart area and select the Indicator item. (1.5)

6. From the drop-down list, select the indicator of stock quotes we need, in our case SMA, and click OK. (1.6)

7. On the market data chart, the stock quotes indicator curve will be displayed. (1.7)

8. To plot the SMA indicator chart separately, we need to click the “+” button in the upper part of the stock quotes history chart area, and in the field that opens below click the right mouse button. Select the Indicator item, select the required indicator in the list and click OK. (1.8) (1.9)

9. The stock quotes indicator chart will be plotted in a separate window. (1.10)

The considered functionality of the Hydra program allows you to apply indicators calculated from the downloaded market data on any platform, which makes it easier to work with trading algorithms.
Enjoy using the program.

Loading Data and Candles

2018-02-21T09:02:50Z

I am trying to load up candles with some data retrieved from Hydra. I was able to retrieve the data in Bin using MFD. From there I was able to open the securities from the storage file and find the time frame candles. My first question is Can you explain what the "start button" does in the Market Data tab. When I click on it it shows only Finam. When I click on that the following gives me an error.

Additionally, I was trying to show the candles using the sample candles code provided. I am using Brent as an example here from the MFD. When I run it with a time-frame of 1:0:0:0 in Bin format, I don't get any thing shown on my candle chart.

Also when I try a different security for instance AMD@SPB, when I press start, I get a blank chart and I'm assuming an infinite loop in which I cannot disconnect/stop the process.