Posts by Alpha Droid
The Risks Associated With Portfolio Rebalancing
One of the biggest questions in the investment world with no sure answer is ‘when should investors rebalance their portfolios?’. Many financial experts recommend rebalancing your portfolio at least once a year. Others will recommend rebalancing once each equator. No matter how often an investor rebalances their portfolio, the idea behind it is that they…
Read MoreDealing With Whipsaw in Trading
In order to be a successful trader and trend follower, one must be able to take losses. Taking losses means being wrong to some people. When taking losses, it can cause traders to let their emotions get the best of them, resulting in jumping into various trades without taking the time to analyze the current…
Read MoreA Look At Common Trading Order Types
Trading is much more than just buying and selling, it’s far more complicated than that. As algorithmic trading technology has helped close the knowledge gap between retail traders and large financial institutions, it has become easier for retail traders to use more advanced strategies in their trading. One of the ways investors and traders use…
Read MoreA Quick Guide To Backtesting For Traders
One of the best ways to determine how well a trading strategy will perform is by backtesting. Backtesting is a vital component of the development of an effective trading system. Backtesting uses historical market data to reconstruct trades that would have taken place in the past using rules set by a given strategy. As a…
Read MoreWhy Algorithmic Trading Is A Good Investment
More and more people are becoming interested in joining the world of investments, looking for a better way to do business. However, one of the biggest reasons people are hesitant to start investing in the financial markets is that it is viewed as a type of gamble — sometimes you can win big, but other…
Read MoreForms of Diversification To Include In Your Portfolio
If you have been following our blog or have been in the trading and investing game for a while, you know that portfolio diversification is essential. To quickly sum it up, diversification essentially means spreading assets your assets among a variety of investments. Doing this helps to mitigate risk and provides the potential to improve…
Read MoreThree Myths About Investment Portfolio Software
Whether it is for managing their own personal portfolio or a client’s portfolio, many investors are recognizing the increasingly sophisticated market environment, and are choosing to explore investment management software as a way to streamline information and processes. Although we are surrounded by technology, many firms and investors are fearful of the old stereotypes on…
Read MoreSome Interesting Facts You May Not Know About Algorithmic Trading
Quick, dependable, and ruthless — algorithmic trading, often referred to as algo trading, automated trading, or robo trading has taken the world by storm and is some of the best investment and trading technology we have seen. In fact, today, about 75 percent of all trades that happen globally are completely automated, and algo trading…
Read MoreThree of the Basic Order Types in Trading
Orders are the core of electronic trading. An order is an investor’s instructions to a broker or brokerage firm to buy or sell a security. Orders are typically done electronically. There are different types of available orders which allow investors to set restrictions that affect the time and price at which the order can be…
Read MoreCommon Myths of Algorithmic Trading
With the emergence of new technologies, it becomes crucial to have an understanding of the concepts related to it, otherwise , it can lead to mistakes that result in losses. Algorithmic trading is one trend in the investment world that has experienced rapid growth and therefore surrounded by many myths arising due to misinformation and…
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