Algorithmic Trading Strategies refer to the execution side of a trade, in contrast to buy/sell decision making. Algo Strategy determine how you can fetch the best price under the constraints of market price, quantity and volume. Alpha Strategy decides when and what to buy, while the algorithmic strategy help to fetch the best price.
Thanks to SEBI, algorithmic trading is available to even the retail individual trader. For example, many brokers provide the free Bracket Order facility. It is the simplest example of algorithmic trading. Please refer the Conditional Orders article below on details regarding Bracket Order.
Basic Algorithmic Trading Strategies
- Best Trading Strategy: LTP vs Bid/Ask Trigger
- Conditional Orders: Algo for Discretionary Traders
- Aggressive Execution Strategies
Price Based Algorithmic Trading Strategies
- Target Close (Day)
- Smart Jobber Strategy
- Pivot Trading Strategy
- Open Range High-Low Breakout Strategy
- (Swing) Range Trading Strategy
Bulk Execution Algorithmic Trading Strategies
- Implementation Shortfall
- Opportunistic Target Completion (OTC)
- Time Weighted Average Price (TWAP)
- Trend Participation- Execution Strategy
- Percentage of Volume
- Volume Weighted Average Price (VWAP)
Best Empanelled Vendors for Algo Trading
- Omnesys Technologies- Complete Products List
- Symphony Fintech- Complete Products List
- Review of Automated Trading Software in India