Markets where arbitrage trading can be conducted
I have repeatedly written that every trader should have his own trading strategy. A kind of a market map, according to which trading, analysis and forecasting of the future value of assets will be conducted. And I did not change my mind. Today, let’s talk about scaling of your trading systems and how they are able to effectively trade on various sites or groups of assets.
Probably, everyone asked this question and already tested his achievements in different markets and assets when creating a strategy. But what to do in the event that the strategy demonstrates an excellent result at fix apiforex, but does not make any sense in the stock market?
I want to say that it is a perfectly normal and logical situation, because the basis of work for one system is set on the foundation in the understanding of the current situation and data from only one market. If the strategy takes into account the fundamental data from the foreign exchange market, then where did you get that the same data can also be interpreted on the stock market?
In order for the result to be the same at different platforms, it should be made more flexible and even so that analysis in one market is replaced by another. With this scenario, you have a chance.
What needs to be done to make the strategy equal in different markets:
- First of all, as I wrote above, change or supplement the internal structure of the trading strategy so that it answers the questions “where to open a deal”, “when to close”, “on what basis to analyze” not only for one market, but for several;
- Test and use those technical analysis tools that will help you enter the market more accurately. I include patterns to these tools, after all, whatever the market is, all the fix api traders see them and trade on them;
- Add graphic analysis elements to your trading. Thus, support and resistance levels must be mandatory;
- If your strategy is based on the author’s principle and it has your own indicators or other analysis tools, then unfortunately, you can forget about the positive result. The thing is that the entire methodology and strategy platform was developed specifically for one market, and I doubt that another market will have the same progress.
What methods are able to conduct a uniform trade in different financial markets?
I want to note that trading strategies based on a speculative algorithm, as well as trading robots, can demonstrate an equally stable result. Such methods do not have a strong influence and do not depend on analysis of the historical movement of the financial asset. For example, fix api arbitration algorithm is based on the analysis of the same financial asset on different stock exchanges and when there is a gap in quotes, an arbitration transaction is made. As we see, there is no subjectivity here. And the robot absolutely does not care what kind of asset it is and on what market it trades, which allows it to apply it on all stock exchanges (http://forexzzz.com/m/).
Also to the list of those strategies, that can demonstrate positive dynamics in other markets, I include trend and level strategies. And here everything is simple, too. According to these methods, the absolute majority of exchange speculators trades, and therefore they form the market. And if you are in the direction of the market, you will always remain in the game.
Returning to the topic of today’s article, it is difficult and ineffective to trade with the same method at different platforms. I advise you to have your own strategy and methodology for analyzing the asset for each market. But if you are an adherent of one strategist, then you can diversify by applying different trading robots that are able to effectively trade regardless of the market.