Algo Trading: 6 Facts You Need to Know


Algo trading is what we are good at!

Hello traders, today we will answer questions regarding algo trading that are very common and that we receive daily.

I have selected the most interesting questions from our students, from our forum, and from the e-mail. And before starting, we want to make it clear that in the forum, as well as in the blog, we now have the Search tab where you can look for the questions.

algo trading in the Forum
The search tab

And you’re very welcome to post new topics. But if you find a topic regarding the question you want to ask, you better write under the same topic so the other students will learn more about the subject. So let’s go now for the questions.

1. “Which is the best algo trading strategy that you use?”

This is probably the most common question that we receive regarding algo trading and strategies. And what I show in my courses is that I don’t use one strategy.

I base the algo trading on many Expert Advisors and trading with many strategies simultaneously on one trading account. This is because this way, I achieve better risk diversification and more stable results.

I really don’t like trading with one strategy because this way, I have the chance to be losing some days.

algo trading on MetaTrader
I trade many strategies on one account

As you know, the market changes all the time and with every single strategy, there are losing periods. It could be a day, a week, or a month. And if you rely on one single strategy, it doesn’t matter manually or for algo trading, you will have days where you will be losing.

So my algo trading strategy is to trade many strategies simultaneously. As I show in my courses, I trade many on a Demo account and I move the best current performers to a live account.

2. “Is it worth it to do algo trading in Python?”

Algo trading in Python has been very famous over the past years. But the thing is, it takes time to become a developer. Not just for Python, but for any other language. So the thing is how you want to invest your time.

Do you want to become a trader and dedicate your complete time on trading? Or do you want to do algo trading with Python, and trading at the same time? But this will be very time-consuming. Becoming a developer is not an easy thing.

Just like trading, you need to spend years and you need to practice because you really cannot be a good trader and developer at the same time.

You better focus on one of the two. Secondly, we don’t hire developers in the Academy. Why? Because we have the strategy builders like EA Studio, FSB, so we don’t really need developers.

Everything happens automatically with the strategy builders.

We save a lot of money by not hiring developers and at the same time, we do things quickly. And everyone from the team, Desi, Marin, Ilan, and the others, use EA Studio very successfully just like the thousands of students we have already. So I would suggest not losing time doing algo trading in Python.

3. “What are the suitable strategies for beginners?”

All the algo trading strategies that come up from EA Studio, I can say they are absolutely suitable for beginner traders.

FSB Pro is a little bit more advanced software. So if you have licenses for both of them, I would suggest you start first with EA Studio and then go for FSB Pro.

And for the beginners, I would advise you simply run the generator of EA Studio and see what are the strategies,

Generator

experiment with them, look at the indicator chart, at the equity chart, run multiple robustness tests like the Monte Carlo, the Multi Market, Walk Forward, and you will see that sometimes even the simplest strategies are profitable. So you really don’t need to go for anything advanced.

4. “Is it possible to trade stocks with EA Studio?”

Absolutely. EA Studio works over the historical data that the traders insert in the app. So if you insert historical data from Meta Trader for stocks, EA Studio will generate strategies for stocks.

If you insert for cryptos, for commodities, you will be able to generate strategies for these assets. There is no limitation.

So if you want to do algo trading stocks, you can do that with EAs that the strategy builder will find for you. Just be careful witht he commissions when trading with the CFD trading. Usually they charge 5-10 dollars per one lot traded. Which is a lot for algo trading stock because we open and close many trades with the robots.

It really doesn’t matter what you will be trading. But I really suggest you start with Forex. At one moment, you will realize that it really doesn’t matter what you are trading.

The Forex is the cheapest way because the spread is the smallest and it is volatile all the time. And we have a huge variety of different currencies that we can trade with.

Variety of currencies you can trade

5. “Which algo trading course should I start with?”

For the beginners, again, you better have a look at the Free Startup algo trading course.

As well, we have a Basic Algorithmic Trading Course where I include 3 ready Expert Advisors and there, I started from scratch showing you how to install the platform, how to choose the broker, what are the charts, candlesticks, everything you need to know before you start testing Expert Advisors or doing algorithmic trading.

basic algo trading course
The Basic Algorithmic Trading Course

Have a look at these 2 courses and you will have a great idea what is algo trading.

6. “What do I expect in the future algo trading courses from Forex Academy?”

From next month, I will be working on a free algo trading course on FSB Pro. The idea that I have about the free course is to explain everything that is not clear from the current course from Mr. Popov.

We have opened the topic in the forum. Actually, it’s one of our students who opened the topic about the FSB Pro. I just changed the topic with ideas. Everyone who has any ideas or if you want to see something special and something particular in the free FSB Pro course, make sure to write under that topic in the forum.

The topic about FSB Pro

And we will do our best to implement everything from the topic to make it really clear how FSB Pro works because it is a little bit more advanced software than EA Studio and it has a lot of features that are not available in EA Studio.

And after the FSB Pro course, we will work really hard to update the current courses. We will have better audio, better video, and fresh examples. Basically, we already have so many courses, over 30, and we realize that pretty much this is enough.

All our algo trading courses have a lifetime license

What we want to improve is the quality and it will be an ongoing process. So all the time we will be updating old courses and, of course, from time to time, like every 3 or 6 months, we will launch a new course. But our target this year is to update all the courses.

And every time a course is updated, you will receive it for free if you have enrolled because as you know, we have a lifetime license to all courses.

Thank you very much for reading!

Cheers.