Automated Trading
Some trading systems rely on massive volumes of orders to catch certain very specific market conditions and make a profit. The first issue with this would be that some brokers will only allow as little as 10 orders per second to be received while others might allow up to hundreds of orders per second or more. We can guide you in that regard. A second issue with such a strategy is that your broker might not appreciate the low execution rates you are creating over such large volumes of orders.
In both cases we can help quite a bit by focusing on reducing the amount of orders sent through proper and effective management of the information available. Instead of cancelling and replacing orders on every change of market conditions it is possible for us to evaluate which orders should be modified/cancelled/replaced next all working within acceptable order throughputs for your broker. This effectively improves your execution rate while, if done properly, not reducing your profit taking capabilities. Orders are handled only when a custom built model predicts the need to apply changes to standing orders is the most urgent.
Making decisions on a tick-by-tick level is a goal that no human can achieve. Still, some of the best trading systems out there constantly rely on the ability of a trader to catch millisecond moves while watching 50 stocks on 5 different screens. This methodology is error prone and greatly ineffective when compared with what a computer can do.
As long as you keep your hardware and network latency in mind it is possible for the Automated Trading Systems to process incoming ticks within 0.1-1 millisecond and respond with the proper reply. This leaves Network Latency as the only noticeable delay in your decision making process.
The number of brokers offering a programming Platform and the quality of those platforms is growing constantly. These are often refered to as API which stands for Application Programming Interface. Centauris has put a lot of effort in providing as many broker platform as possible through their UTS architecture. UTS enables quickly switching an existing Centauris application from one broker platform to an other. At the same time this means that a single application can connect to multiple platforms and route orders to each one independently simply based on the rules programmed into the trading logic. Account information, risk management and positions can all be merged under this concept to allow for easy inter-broker hedging or load balancing. An other application of this would be the possibility to share Shortable Lists between brokers so that a difficulty to short at one broker would mean you might be able to at a different broker.
Up to this day Centauris has worked with over 30 different brokers and data providers. Some of those provide only services to Forex traders while others focus on Equities. Many of those are part of the UTS suite so contact us to know if we have worked with your broker of choice in the past. If not we'll take a serious look at adding them to our existing product base.