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Strategies & Market Trends : The Art of Investing -- Ignore unavailable to you. Want to Upgrade?

To: kidl who wrote (7668)	10/18/2023 8:43:50 PM
From: Sun Tzu	2 Recommendations Recommended By sixty2nds towerdog Respond to of 10763

Yes. There are a lot of platforms that make it easy to do so. The real difficulty is in developing the algo. And I am not talking about the actual programming. Consider a trivial algo that buys when a fast MA crosses a slow one. Almost everyone starts with this. And soon everyone realizes how useless MA crossing is because by the time they crossover, the stock is not where the buy point is. So then you get into the prediction game. If the stock moves along its regression line according to the momentum by RSI or MACD, can I predict when and where the crossover happens? As you travel down this road, you will discover many obstacles that prevent you from giving the computer a free reign with your finances. The algo's that you see me posting have been in the work for years. I have literally spent thousands of hours developing and testing them. And I still don't think that they are ready for public release, but I think that I am close.

To: kidl who wrote (7668)	10/19/2023 8:06:36 AM
From: Sun Tzu	1 Recommendation Recommended By sixty2nds Read Replies (1) \| Respond to of 10763

I should add that for some simple tasks an algo is very easy and viable. For example creating a trailing stop loss or trading one of your holdings (say SOX) based on behaviour of another item (say TLT). For such "simple" algos, sophisticated brokers have built in order processing. You don't need to program anything. In IBKR, you can put in trailing stops or profit targets and make one order dependent on another. These are all built in. They also have more sophisticated algorithmic tools that don't require any programming experience. But the point of my previous post is that with each if-then statement, the unintended consequences increase exponentially.