Stock Trading Software Review

Stock Trading Software is a powerful tool to make money doing day trading. However, it should be used with proper care and guidance.

Stock trading dates back to the 17th century when the joint stock corporation was first invented; stock trading has several emergent behaviors from the way it works. In particular, there are advantages to having the information you need before everyone else gets it, and there are advantages to being able to execute your trades faster than anyone else can. Stock trading software attempts to put those advantages into the hands of a typical investor with a computer.

In its core precepts, stock trading software really got its start in the 1970s, when mainframe computers came down inin price that they could be used to aggregate data and put it in front of traders in scatter plot and graph forms. When the PC revolution happened, this capability got more widely spread, and as the network revolution of the Internet came about, the amount of data available grew exponentially, as did the number of financial vehicles trying to use it.

Modern stock trading software tries to not only give graphical plots of the data it’s gathering, but tries to match it against a database of billions of successful trades from highly trained professionals. This tries to use logical statements about what trades were made and why. Thus, it’s trying to not only gather and present the data, it’s trying to interpret it for you as well.

This makes modern trading software much more fluid and easier to use than it’s ever been before. That means it’s a much more powerful tool, with an easier learning curve. However, since stock market trades run from plays on daily – even hourly – volatility, analysis and recommendation isn’t enough – it also needs to be able to manage automated buy and sell orders. And with this, we run into a conceptual gap.

With software that’s this easy to use, it makes it possible to sell it to people who are desperate to make money fast, but have no formal training in day trading or how stock markets work. It’s entirely possible for someone to get in over their head, doing leveraged trades, without really understanding what this means.

In the end, stock trading software is a tool. It’s not an expert stock trader in a box, no matter how much its marketers say it is. You can use it (and we recommend stock trading software to anyone who wants to work the markets), but we insist that you get a good education about what it does, how it does it, and how markets actually work before putting your trust blindly in it.

One of the important decisions that a stock trader has to make is “When do I not want to trade?” This is analogous to a poker player folding…and given how chaotic markets are, any kind of algorithmic solution to market trading means that it’s when the markets are going crazy that the software is at its least useful.

Just remember – to succeed at stock trading, stock trading must be your job. You must treat it like a job, take the time needed to research your positions and exercise judgment to be successful at it.

Old school investing was only the beginning; with stock picking software available, investors are dominating the market without an ounce of sweat.

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