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Re: Automated trading:does it work?
I don't use TS but I do use Amibroker's Auto Trading Interfaced to IB and here is why I like Automated trading.
More fun. It is mesmerizing and great fun to see your orders being placed, modified and filled faster than any human trader could ever do and do so without lifting a finger.
Less stress. Not having to punch in all those orders makes trading a fun activity.
More efficient. Whether you trade Intraday or EOD manually placing complex orders can be time-consuming. Using the IBc you can automate all order placements and perform them perfectly in a fraction of the time it would take you to do it manually.
More flexibility. You can make up your own order types that react instantly to price changes in real time.
Less emotional. We all know that emotional trading can kill even the best mechanical system. Your Automated system will follow your trading rules flawlessly and never ever second-guess signals.
More responsive. If a price changes your prices can be recalculated, orders placed, and perhaps even executed, before you can even move your fingers to the keyboard.
More accurate. No entry errors, ever.
Trading Niche. While popularity of automated trading is rising fast it is still mostly practiced by a small percentage of elite and knowledgeable traders. I believe that in High-Frequency Automated-Trading there will be less competition than in other trading areas. The price excursions and volumes are just too small for fund traders but are a perfect niche for the small trader.
More profitable. If you are trading a profitable mechanical system now adding automation to it will almost certainly increase your profits.
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