Algo-Trading (Algorithmic Trading)

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Algo-Trading (Algorithmic Trading)

What is Algo-Trading (Algorithmic Trading)?

The process of executing orders using automated, pre-programmed trading instructions that take time, price, and volume into account is known as algorithmic trading. When compared to human traders, this type of trading aims to take advantage of the speed and computational power of computers. 

Algorithmic trading has become more popular in the twenty-first century among both retail and institutional traders. Investment banks, pension funds, mutual funds, and hedge funds frequently apply it when they need to stretch out the execution of a bigger transaction or execute deals too quickly for human traders to respond to.

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