In essence, successful online trading is the implementation of a successful strategy within a strong technological infrastructure. Let’s take a closer look at how choosing the best intraday trading platform for the job can help you trade futures from a position of strength.
Online trading is not one size fits all
When it comes to the trading platform, traders can choose from many alternatives readily available. Simply put, there’s no shortage of options – but they’re not all created equal.
The first step in finding the best day trading platform for your situation is to take a comprehensive self-inventory. By answering a few basic questions, you can determine your platform requirements:
Am I a technical trader or a basic trader?
The answer to this question will largely determine which day trading platform is best for you. If you are a technically inclined trader, charts and indicators are a must. For market purists, the suite of software that includes a live news feed and intuitive order entry options is ideal. Although user needs differ, the best day trading platform will depend on whether you are a practitioner of technical or fundamental analysis.
How do I place orders in the market?
Execution of basic market orders and limit orders is very different from market stop orders and limit orders. Also, some strategies may require more complex order types, such as parentheses, OCOs, and tracebacks. It is critical to understand the types of requests you will rely on and to ensure that your software supports them.
How many trades do I execute per day?
The discussion of which day trading platform is the best usually includes the price. As a rule, heavy quantities are given price discounts. So knowing the expected volume of your strategy beforehand is a great way to find a platform that can save you money.
What products will I trade?
When comparing platforms, it is important to consider the behavior of the markets you will be trading. It is best to trade fast-moving contracts – such as forex in Euros, gold or crude oil – using platforms with low latency.
After answering these questions, you will have a good idea of which platform is best suited to your needs. Then, you can easily narrow down the pool of online alternatives to a few strong candidates.
What to look for in a day trading platform
Unlike other forms of capital investing, day trading is an active way to engage the financial markets. With day trading strategies, schedules are compressed, open positions are aggressively managed, and confident decision making is a bonus.
In order to day trade successfully, it pays to have the best day trading platform at your disposal. Here are three areas in which our premium futures trading software suites excel:
- Customizable: Strategies, markets, and traders evolve over time. Being able to update the platform to better handle the ever-changing trading environment is a must.
- response time: Day trading is a short term system, where speed is a precious commodity. Broadcasting live market data in a timely manner and fulfilling orders on the spot is vital to long-term success. Accordingly, the best day trading platform eliminates any unnecessary delays.
- Advanced technologies: When it comes to day trading, technical analysis is the most important! A solid platform should be armed with a wide range of technical indicators and analytical tools.
In addition to these traits, affordability also plays a role in determining the best day trading platform for you. Trading software costs can be a large part of your overhead – make sure it aligns with your account size and profitability matrix.
Choosing the best daily trading platform
The last step in choosing the best day trading platform is to actually try the software. Most platforms offer a free trial or trial period to give traders an idea of the supported features and functions. Taking advantage of the free trial is a great way to explore the potential of each platform under live market conditions, and is risk-free.
* This blog was originally published on September 11, 2018 and has been updated for accuracy and comprehensiveness.