Are there any standard strategies which I can use it for my trading? Buying OTM options is always a bad idea in the long run. But this is what I think is the essence of what successful option trading is, in the long run 1. Bankruptcy, acquisition, merger, spin-offs. Do not have a bank nifty option strategy builder algo trading that tracks hft trade in your account which you did not think through the previous day You are trading for the long run. Machine Learning based models, on the other hand, can analyze large amounts of data at high speed and improve themselves through such analysis. Spend time with family. And that will be soon available on sensibull. Most OTM options expire worthless. Bet against unlikely events more often, Sell OTM because in the long run that makes money. Trade less, and with better payoffs You have to be very choosy about the trades you enter. Market making provides liquidity to securities which are not frequently traded on the stock exchange. The probability of getting a fill is higher but at the same time slippage is more and you pay bid-ask on both sides. If you are planning to invest based on the pricing inefficiencies that may happen during a corporate event before or afterthen you are using an event-driven strategy. Then how can Stock trading courses day trading better to trade forex or stocks make such strategies for trading? The point is that you have already started by knowing the basics of algorithmic trading strategies and paradigms of algorithmic trading strategies while reading this do you need money transmitter license to sell bitcoin coinbase deposit still have double cash. The concise rockwell trading nadex broker forex binomo will give you an idea of the entire process. Thanks for the AMA. Value Investing: Value investing is generally based on long-term reversion to mean whereas momentum investing is based on the gap in time before mean reversion occurs. No matter how confident you seem with your strategy or how successful it might turn out previously, you must go down and evaluate each and everything in. Pairs trading is one of are reinvested stock dividends taxable hbi stock dividend history several strategies collectively referred to as Statistical Arbitrage Strategies. You can check them out here as. Do those trades which dont need monitoring Always have stop losses built in. Hitting — In this case, you send out simultaneous market orders for both securities. As I had mentioned earlier, the primary objective of Market making is to infuse liquidity in securities forex trading and intermarket analysis pdf etoro export to excel are not traded on stock exchanges. I largely rightly or wrongly believe I know a thing or two about option math and practice. If you think you do not have the discipline to do that, buy OTM options which will cover your losses.
You can make this more lucrative by doingor a condor where you sell both Put sell Put buy spread and Call Sell Call Buy If Cedar binary trading review best stock trading youtube channels reddit were to start over again, what can you do options on robinhood robotics etf ishares you suggest is the best way to learn about options and how to I pick my first few trades? There is nothing more important. Let me then take this opportunity to ask a few questions that I always wanted to ask an experienced Options trader of the Indian markets. According stocks on hemp crooked stock brokers Wikipedia: A market maker or liquidity provider is a company, or an individual, that quotes both a buy and sell price in a financial instrument or commodity held in inventory, hoping to make a profit on the bid-offer spread, or turn. This strategy is profitable as long as the model accurately predicts the future price variations. Trade less, and with better payoffs You have to be very choosy about the trades you enter. The choice between the probability of Fill and Optimized execution in terms of slippage and timed execution is - swing trading free paper account benzinga pro fees this is if I have to put it that way. What do you do next? Machine Learning In Trading In Machine Learning based trading, algorithms are used to predict the range for very short-term price movements at a certain confidence interval. The catch here is black swan movements, against which you need to get protection by buying OTM options which hedge your sell options. I am working on a platform which hopefully is made for you. The entire process of Algorithmic trading strategies does not end. Modelling ideas of Statistical Arbitrage Pairs trading is one of the several strategies collectively referred to as Statistical Arbitrage Strategies. Do those trades which dont need monitoring Always have stop losses built in. For almost all of the technical indicators based strategies you. Sorry I am not being of help. A more academic way to explain statistical arbitrage is to spread the risk among thousand to million trades in a very short holding time to, expecting to gain profit from the law of large numbers.
You can make this more lucrative by doing , or a condor where you sell both Put sell Put buy spread and Call Sell Call Buy. How are algorithms designed? Back Office. Were you alluding to Dispersion trading strategy with the index and index components? Firstly, you should know how to detect Price momentum or the trends. All information is provided on an as-is basis. Our cookie policy. In the long run, selling is a better idea than buying. Assume that there is a particular trend in the market. And since moving ahead seizing opportunities as they come is what we must do to be in this domain, so must we adapt to evolving sciences like Machine Learning. Hedging is not the only purpose of options. I keep looking at the prices of those 12 banks and try to see if i can make a pattern. They are sitting on the sidelines and watching. Or what if the underlying is still tomorrow morning. We are building one! That is why, for any HFT algorithm to be approved by the markets, exchanges require a firm to undergo a series of stringent tests if it intends to trade through HFT. Zerodha has none.
That will make you take reckless risks. Market making models are usually based on one of the two: First model of Market Making The first focuses on inventory risk. They are sitting on the sidelines and watching. Explanations: There are usually two explanations given for any strategy that has been proven to work historically,. Momentum: Momentum is chasing performance, but in a systematic way taking advantage of other performance chasers who are making emotional decisions. Scale down! Momentum trading carries a higher degree of volatility than most other strategies and tries to capitalize on market volatility. Once a buy signal is generated by an algorithm, the trade is executed within fractions of a second. Question: What are the best numbers for winning ratio you have seen for algorithmic trading? Statistical Arbitrage Algorithms are based on mean reversion hypothesis , mostly as a pair. There are much better things to do in life than trade What is one time I should know about Options trading that I should avoid and one thing which I should absolutely know? Our cookie policy. From algorithmic trading strategies to classification of algorithmic trading strategies, paradigms and modelling ideas and options trading strategies , I come to that section of the article where we will tell you how to build a basic algorithmic trading strategy. Risk management is critical with algorithmic trading. Good idea is to create your own strategy , which is important. Take Profit — Take-profit orders are used to automatically close out existing positions in order to lock in profits when there is a move in a favourable direction. Machine Learning based models, on the other hand, can analyze large amounts of data at high speed and improve themselves through such analysis. If you try to sell options more than buy options, in the long run, you stand to make money from Theta. Please be very gentle with your exaplnation and be as detailed as your time allows. What I have provided in this article is just the foot of an endless Everest.
However, the total market risk of a position depends on the amount of capital margin trading course confirmation candlestick forex in each stock and the sensitivity of stocks to such risk. According to Wikipedia: A market maker or liquidity provider is a company, or an individual, that quotes both a buy and sell price in a financial instrument or commodity held in inventory, hoping to make a profit on the oscillator indicators forex best forex trade winning strategies spread, or turn. Be superchoosy and enter great trades at bargain prices. You can learn more bt Googling FII buy sell data. The choice between the probability of Fill and Optimized execution in terms of slippage and timed execution is - what this is if I have to put it that way. Further to our assumption, the markets fall within the week. These were some important strategy paradigms and modelling ideas. Modelling ideas of Statistical Arbitrage Pairs trading is one of the several strategies collectively referred to as Statistical Arbitrage Strategies. Email Address. It is important to time the buys and sells correctly to avoid losses by using proper risk management techniques and stop losses. And how exactly does one build an algorithmic trading strategy? How do you judge your hypothesis?
Currently I am building Sensibull sensibull. Question: I am not an engineering graduate or software engineer or programmer. As an algo trader, you are following that trend. Algorithmic traders usually use historical data to design and develop their algorithms. In pairs trade strategy, stocks that exhibit historical co-movement in prices are paired using fundamental or market-based similarities. Do not have a single trade in your account which you did not think through the previous day You are trading for the long run. Besides these questions, we have covered a lot many more questions about algorithmic trading strategies in this article. We will be throwing some light on the strategy paradigms and modelling ideas pertaining to each algorithmic trading strategy. There are much better things to do in life than trade What is one time I should know about Options trading that I should avoid and one thing which I should absolutely know? Nothing is worth your peace of mind. In such a scenario, purely hedged Theta dependent strategies have somewhat become less profitable and more vulnerable to Delta. If you decide to quote for the less liquid security, slippage will be less but the trading volumes will come down liquid securities on the other hand increase the risk why is etrade late with my 1099 ameritrade cash bonus slippage but trading volumes will be high. Bet against unlikely events more often, Sell OTM because in the long run that makes money.
Ensure that you make provision for brokerage and slippage costs as well. Do those trades which dont need monitoring Always have stop losses built in. If I were to start over again, what do you suggest is the best way to learn about options and how to I pick my first few trades? Risk management is critical with algorithmic trading. Write down somewhere -" This is what I will do tomorrow. Trade with small bet sizes. Am i correct in guessing that the value of an option is always a computer generated value and the people quoting higher value to buy it does not affect the price like how stocks work? Machine Learning In Trading In Machine Learning based trading, algorithms are used to predict the range for very short-term price movements at a certain confidence interval. What kind of tools should you go for, while backtesting? From algorithmic trading strategies to classification of algorithmic trading strategies, paradigms and modelling ideas and options trading strategies , I come to that section of the article where we will tell you how to build a basic algorithmic trading strategy. Execution strategy , to a great extent, decides how aggressive or passive your strategy is going to be. There is a long list of behavioural biases and emotional mistakes that investors exhibit due to which momentum works. Market making provides liquidity to securities which are not frequently traded on the stock exchange. OTM options are unlikely to make you money. As I had mentioned earlier, the primary objective of Market making is to infuse liquidity in securities that are not traded on stock exchanges. This process repeats multiple times and a digital trader that can fully operate on its own is created. This allowed high frequency trading to be granted access on all the leading exchanges in India.
Algorithmic traders usually use historical data to design and develop their algorithms. Take breaks, say a week every month should do Live life! Nice to have an Options expert in this forum. Never play a trade. Bankruptcy, acquisition, merger, spin-offs etc. What can this AI do? Was this article helpful? Statistical Arbitrage Algorithms are based on mean reversion hypothesis , mostly as a pair. The only difference between good traders and bad traders is discipline and a plan. On this trade, all you need to think is this: In a week, you will gain max, and lose max. When the traders go beyond best bid and ask taking more volume, the fee becomes a function of the volume as well. Trading is for the long run. Market making provides liquidity to securities which are not frequently traded on the stock exchange. These tests include the number of orders that would be placed per second, the maximum order value of any order placed, and the maximum traded quantity during a particular trading day. In order to conquer this, you must be equipped with the right knowledge and mentored by the right guide. These trades are placed through algorithms written by programmers and done through algorithmic trading. OTM options are unlikely to make you money.
This protection will cost you, but trust me, it is better than a blow up Trade. Trade volume is difficult to model as it depends on the liquidity takers execution strategy. Life was easy! Trading Basics. Thus, making it one of the better tools for backtesting. Ensure that you make provision for brokerage and slippage costs as. That is the first question that must have come to your mind, I presume. If you have feature requests for that, now can you get rich investing in penny stocks how much is walgreens stock worth the time! The catch here is black swan movements, against which you need to get protection by buying OTM options which hedge your sell options. All my decisions were based on the futures movement with some technical analysis, I am a full time working professional and I now understand how much attention is required while trading in intraday or derivatives market, my question to you is. Sorry I am not being of help here And lastly, you being easy tos scan poor mans covered call yield half batman forex pattern successful options trader for so many years, what is your go to strategy when it comes to options considering all external factors are equal? Second model of Market Making The second is based on adverse selection which distinguishes between informed and noise trades. There is a lot of scrutiny surrounding algorithmic trading, not only in India, but around the world across all major stock exchanges. Quoting — In pair trading you quote for one security and depending on if that position gets filled or not you send out the order for the. The advantage of an HFT trade is that, because it is coded through an algorithm, its signal generation for buys and sells are done automatically. Currently I am building Sensibull sensibull. There are no standard strategies which will make you a lot of money. He will give you a bid-ask quote of INR The entire process of Algorithmic trading strategies does not end. For instance, while backtesting quoting strategies it is difficult to figure out when you get a. On a serious note, passage of time is an inevitability. But this is what I think is the essence of what successful option trading is, in the long run. The first step is to decide on the strategy paradigm. Is this a viable strategy? As a bonus content for algorithmic trading strategies here are some of the most commonly asked questions about algorithmic trading strategies which how to trade with rsi day trading binary options indicator 83 win rate came across during our Ask Me Anything session on Algorithmic Trading.
Short-term positions: In this particular algorithmic trading strategy we will take short-term positions in stocks that are going up or down until they show signs of reversal. Or if it will change in the coming weeks. I do not generally recommend any standard strategies. Be net option sellers than buyers more often, because in the long run that makes money. If you think you do not have the discipline to do that, buy OTM options which will cover your losses. These tests include the number of orders that would be placed per second, the maximum order value of any order placed, and the maximum traded quantity during a particular trading day. Will keep adding. Mobile Number. There is a gold futures trading signals small cap water stocks list of behavioural biases and emotional mistakes that investors exhibit due to which momentum works. The entire process of Algorithmic trading strategies does not end. When one stock outperforms the other, the outperformer is sold short and the other stock is bought long, with the expectation that the short term diversion will end in convergence. Else you are doing it wrong. In this article, We will be telling you about algorithmic trading strategies with some interesting examples. Trade odds trades.
Or if it will change in the coming weeks. Share Article:. The catch here is black swan movements, against which you need to get protection by buying OTM options which hedge your sell options. And how exactly does one build an algorithmic trading strategy? Be superchoosy and enter great trades at bargain prices. These trades are placed through algorithms written by programmers and done through algorithmic trading. If you think you do not have the discipline to do that, buy OTM options which will cover your losses. Were you alluding to Dispersion trading strategy with the index and index components? Market making provides liquidity to securities which are not frequently traded on the stock exchange. GIve us a couple of months? Momentum-based Strategies Assume that there is a particular trend in the market. This is a Call Spread You will need a margin of around 50 k for this. To understand Market Making , let me first talk about Market Makers. Trust me, I hate looking at markets all the time. I go in and come out in 10 mins. You might feel that if you have limited knowledge of the topics like Market Making, Market Microstructure or the forthcoming topics, you might have to explore what will help you gain skills to master these. If you decide to quote for the less liquid security, slippage will be less but the trading volumes will come down liquid securities on the other hand increase the risk of slippage but trading volumes will be high. How much will the option value decrease over the weekend, etc. Question: I am not an engineering graduate or software engineer or programmer.
You are not in it for a months. Hopefull you will respond soon! Is this a viable strategy? The catch here is black swan movements, against which you need to get protection by buying OTM options which hedge your sell options. But yeah, I think I understand a little bit of technicality. The advantage of an HFT trade is that, because it is coded through an algorithm, its signal generation for teknik scalping menggunakan bollinger band nxt btc technical analysis and sells are done automatically. So, the common practice is to assume that the positions get filled with the last traded price. We use cookies necessary for website functioning for analytics, to give you the best user experience, and to show you content tailored to your interests on our site and third-party sites. Question: I am not an engineering graduate or software engineer or programmer. An AI which includes techniques such as ' Evolutionary computation ' which is inspired by genetics and deep learning might run across hundreds or even thousands of machines. Algorithmic traders usually use historical data to design and develop their algorithms. This protection will cost you, but trust me, it is better than a blow up Trade. Bet Size correctly Enough said on. Sorry I am not being of help here And lastly, you being a successful options trader for bank nifty option strategy builder algo trading that tracks hft many years, what is your go to strategy when it comes to options considering all external factors are equal? Or if it will change in the best biotech stocks to buy right now how to buy profitable dividend stocks weeks. The long-term strategies and liquidity constraints can be modelled as noise around the short-term execution strategies. How are algorithms designed? Thanks a lot. Trade odds trades.
Its is just like poker. Email Address. The trading algorithms tend to profit from the bid-ask spread. You dont have the time to monitor the market. How do you ensure that once you have sold an option, you make money on that trade? According to Wikipedia: A market maker or liquidity provider is a company, or an individual, that quotes both a buy and sell price in a financial instrument or commodity held in inventory, hoping to make a profit on the bid-offer spread, or turn. They use a system called backtesting which tests the profitability of the strategy on historical data. Be superchoosy and enter great trades at bargain prices. If you decide to quote for the less liquid security, slippage will be less but the trading volumes will come down liquid securities on the other hand increase the risk of slippage but trading volumes will be high. And IMHO, not having a position is a position. As you are already into trading, you know that trends can be detected by following stocks and ETFs that have been continuously going up for days, weeks or even several months in a row. Quoting — In pair trading you quote for one security and depending on if that position gets filled or not you send out the order for the other.
I largely rightly or wrongly believe I know a thing or two about option math and practice. Similarly to spot a shorter trend, include a shorter term price change. In order to measure the liquidity, we take the bid-ask spread and trading volumes into consideration. Bankruptcy, acquisition, merger, spin-offs etc. It can create a large and random collection of digital stock traders and test their performance on historical data. Exact matches only. Are there any powerful yet completely free FnO strategy calculators available? Also, would you be interested in having live trading session any time in future? Search in content. After fitting this strategy in you can go to sleep till expiry. Buy at, Sell at, stoploss at. There are no standard strategies which will make you a lot of money. Hi Abid, I have been trying Options and i focus on banknifty weekly options.
If you look at it from the outside, an algorithm is just a set of instructions or rules. This is phenomenally low vol environment these days. You can learn more bt Googling FII buy sell data. This gives a huge advantage to algorithmic traders. If yes, what should be my strategy? In this case, the probability of getting a fill is lesser but you save bid-ask on one. There is nothing more important. You can learn these Paradigms in great detail in one of the most extensive algorithmic trading courses available online with lecture recordings and lifetime access and support - Executive Programme in Algorithmic Trading EPAT. Most of these folks are no longer selling options. And since it requires margin, it limits your trading. In pairs trade strategy, stocks that exhibit historical co-movement in prices are paired using fundamental or market-based similarities. So is it a good appraoch to see the OI and try to guess where the big investors have put their bet? Take Profit — Take-profit orders are used to automatically close out existing positions in order to lock in profits when there is a move in a favourable direction. These trades are placed through algorithms written by programmers and done through algorithmic trading. Currently I am building Sensibull sensibull. Be net option sellers than can non residents buy stocks in canada tradestation save scanner symbol list more often, because in the long forex institutional indicators residual momentum and reversal strategies revisited that makes money. If you are planning to invest based on the pricing inefficiencies that may happen during a can i buy etfs for my ira best canabis dividend stocks event before or afterthen you are using an event-driven strategy.
Risk management is critical with algorithmic trading. Hello Sanket What would be your advice to beginners? And since moving ahead seizing opportunities as they come is what we must do to be in this domain, so must we adapt to evolving sciences like Machine Learning. This will get you more realistic results but you might still have to make some approximations while backtesting. But this is what I think is the essence of what successful option trading is, in the long run 1. You can also read about the common misconceptions people have about Statistical Arbitrage. No point having a trade all the time. A strategy can be considered to be good if the backtest results and performance statistics back the hypothesis. Trade Small, and have a limit in your mind, something like you will not trade more than x lots at a time, on buy or sell. Learn the basics of Algorithmic trading strategy paradigms and modelling ideas. Hitting — In this case, you youtube medved trader stocks above ichimoku cloud out simultaneous market orders for both securities. Machine Learning based models, on the other hand, can analyze large amounts of data at high hydro crypto bitcoin trading money supermarket and improve themselves through such analysis. What I have tips for day trading stocks best forex trader in the world 2020 in this article is just the foot of an endless Everest. They are sitting on the sidelines and watching. Explanations: There are usually two explanations given for any strategy that has been proven to work historically, Either the strategy is compensated for the extra risk that it takes, or There are behavioural factors due to which premium exists Why Momentum works? If you want to know more about algorithmic trading strategies then you can click. There is nothing more important.
Algorithms are developed by observing patterns in the market. The catch here is black swan movements, against which you need to get protection by buying OTM options which hedge your sell options How much of options movement is driven by Institutional Investors Domestic and Foreign? Thank you for your time. Most OTM options expire worthless. Momentum trading carries a higher degree of volatility than most other strategies and tries to capitalize on market volatility. You can learn more bt Googling FII buy sell data. If you try to sell options more than buy options, in the long run, you stand to make money from Theta. These set of rules are then used on a stock exchange to automate the execution of orders without human intervention. To understand Market Making , let me first talk about Market Makers. When Martin takes a higher risk then the profit is also higher. In pairs trade strategy, stocks that exhibit historical co-movement in prices are paired using fundamental or market-based similarities. Trade odds trades. Never play a trade. Hopefull you will respond soon!
OTM options are unlikely to make you money. On a serious note, passage of time is an inevitability. These set of rules are then used on a stock exchange to automate the execution of orders without human intervention. This allowed high frequency trading to be granted access on all the leading exchanges in India. Risk management is critical with algorithmic trading. That is why, for any HFT algorithm to be approved by the markets, exchanges require a firm to undergo a series of stringent tests if it intends to trade through HFT. Momentum trading carries a higher degree of volatility than most other strategies and tries to capitalize on market volatility. And yes, as you pointed out, the high lot sizes do not help in hedging small quantities of stocks. Most of these folks are no longer selling options. Trade Small, and have a limit in your mind, something like you will not trade more than x lots at a time, on buy or sell side. The choice between the probability of Fill and Optimized execution in terms of slippage and timed execution is - what this is if I have to put it that way. Then how can I make such strategies for trading? That particular strategy used to run on one single lot and given that you have so little margin even if you make any decent amount it would not be scalable. We can also look at earnings to understand the movements in stock prices. Zerodha has none. I do not generally recommend any standard strategies. Trade your plan, plan your trade.
Trade odds forex grid trading system crypto trading bot github python 3. This is phenomenally low vol environment these days. To limit risk 90 percent accurate forex indicator quant options strategies gain peace of mind you need to buy a protection, say Call 11 Rs. Statistical Arbitrage Algorithms are based on mean reversion hypothesismostly as a pair. In this article, We will be telling you about algorithmic trading strategies with some interesting examples. This often hedges market risk from adverse market movements i. And binary option trading demo accounts schwab covered call screener, as you pointed out, the high lot sizes do not help in hedging small quantities of stocks. Using statistics to check causality is another way of arriving at a decision, i. In pairs trade strategy, stocks that exhibit historical co-movement in prices are paired using fundamental or market-based similarities. It is a perfect 3 incredibly cheap high-yield dividend stocks exchange traded funds etfs have which of the following for the style of trading expecting quick results with limited investments for higher returns. Currently I am building Sensibull sensibull. These set of rules are then used on a stock exchange to automate the execution of orders without human intervention. Second model of Market Making Edward jones stock coverage how to receive dividends on robinhood second is based on adverse selection which distinguishes between informed and noise trades. Most OTM options expire worthless. When one stock outperforms the other, the outperformer is sold short and the other stock is bought long, with the expectation that the short term diversion will end in convergence. A strategy can be considered to be good if the backtest results and performance statistics back the hypothesis. In such a scenario, purely hedged Theta dependent strategies have somewhat become less profitable and more vulnerable to Delta. Do not attempt doubling up in 2 months. Sorry I am not being of help. It will affect your work performance, mental bandwidth, and peace of mind. Question: I am not an engineering graduate or software engineer or programmer. How much will the option value decrease over the weekend. Market Makers like Martin are helpful as they are always ready to buy and sell at the price quoted by .
In this case, the probability of getting a fill is lesser but you save bid-ask on one side. We will be throwing some light on the strategy paradigms and modelling ideas pertaining to each algorithmic trading strategy. Although people talk about watching real time news and all- it does not help me to find the sudden peaks and drops on a normal day unless some big news are out like the quarterly results. Statistical Arbitrage Algorithms are based on mean reversion hypothesis , mostly as a pair. The trading algorithms tend to profit from the bid-ask spread. Thus, making it one of the better tools for backtesting. You can check them out here as well. Lesser that even what you thought right now - You just need great trades a month. Trade odds trades. If I were to start over again, what do you suggest is the best way to learn about options and how to I pick my first few trades? That is the first question that must have come to your mind, I presume. Feel free to ask me anything Note: The thread will remain open until Thursday. I am retired from the job.
For almost all of the technical indicators based strategies you. As a market maker of options, you need to provide liquidity? The point is that you have already started by knowing the basics of how are stocks of well known companies classified day trading realistic expectations trading strategies and paradigms of algorithmic trading strategies while reading this article. This is triggered by the acquisition which is a corporate event. Trade less, and with better payoffs You have to be very choosy about the trades you enter. Now I feel so much assured that I am not the only one who has been sulking because of this low Volatility level in Nifty. These were some important strategy paradigms and modelling ideas. Popular algorithmic trading strategies used in automated trading are covered in this article. The only difference between good traders and bad traders is discipline and a plan. You dont have the time to monitor the market. Given your experience, I am sure you have seen many such bull markets and similar environments, therefore, what strategies do you think will work well if one wishes to play Delta neutral strategies in Nifty to avoid Delta risk? The objective should be to find a model for collective2 cost pot stocks in america volumes that is consistent with price dynamics. The premise is that a pattern from the past will continue in the future.
Momentum investing requires proper monitoring and appropriate diversification to safeguard against such severe crashes. Thanks for replying Abid! Feel free to ask me anything. We need a strategy builder that use a live or EOD data like option chain, Greeks, volatility, etc. You dont have the time to monitor the market. This process repeats multiple times and a digital trader that can fully operate on its own is created. How much of options movement is driven by Institutional Investors Domestic and Foreign? What can this AI do? The choice between the probability of Fill and Optimized execution in terms of slippage and timed execution is - what this is if I have to put it that way. That particular strategy used to run on one single lot and given that you have so little margin even if you make any decent amount it would not be scalable. Machine Learning based models, on the other hand, can analyze large amounts of data at high speed and improve themselves through such analysis.