DIY Trading Toolkits: How to Build Your Own
Are you a casual or full-time trader who has always wanted to build your own online investing toolkit? Recent advances in software and other tech fields have made it easy for just about anyone to create a fully functional, adaptable, customized trading toolkit of their own. Luckily, you don’t need to be an advanced IT guru to get good results.
However, it’s important to shop around and explore several brokerage websites to see what kind of platforms and utilities are available. Some brokerage firms cater to newer account holders by offering various templates and selectable menus of features that can be added to a kit in just a few minutes. If you’re ever worked with a website builder app, then you already have a good idea of how simple it can be to develop a customized set of functions that meet all your everyday trading needs.
Make Your Tool Checklist
Step one is making a checklist of every tool you think you’ll need. Even if you’re not sure whether you’ll use it very often, add it to the list. A DIY online trading setup can help cut through unnecessary screening and research and get right down to the securities and other assets that they prefer to buy and sell. The ideal way to program each feature is to use a wizard or template that allows users to set parameters about cost, indicator levels, and other specifics. Many FX traders include at least one forex calculator within their set of functions. That way, they can quickly determine how to size positions, find entry points, determine where to set stop losses, and identify worthwhile exit or take-profit points.
Assemble the Kit
Once you’ve chosen a brokerage firm that offers a reliable template or another kind of assembler, you’ll want to choose at least a half-dozen indicators, calculators, formation identifiers, data accessors, transaction simulators, and other features. The assembling phase is strictly based on what kinds of assets you specialize in, how often you buy and sell, and what your level of sophistication is.
Do Extensive Testing
Don’t neglect the testing phase. It can help you root out bugs and other errors that have the potential to sabotage the entire arrangement. What is extensive? It’s whatever amount of testing you are comfortable with. Aim to do at least 50 or more dry run transactions of different kinds to make sure all the components are operating as they should. Always use demo accounts when running tests. It’s tempting to want to make a few real trades to find out if a kit works as it should. Avoid that urge and stick with a demo until you get all the bugs worked out.
Customize for Your Preferred Asset Class
What are some of the most popular choices people make when it comes time to use an advanced platform or basic template to build a trade kit? Forex enthusiasts usually opt for things like charting software, features that let them set specific entry points, volatility calculators, time-zone converters, financial news wires, position-size calculators, and chart pattern recognition formulas. Equities, forex, and commodities traders tend to have similar interests when it comes to tasks like order entry, exit, price setting, indicator identification, and other highly popular pieces of standard kits. While there’s no definitive list, most customizers end up selecting many of the same functions and screeners.
Shop for the Best Platforms
Not all platforms or brokerage websites are equally adept at letting account holders import or build kits on their sites. Most of the top-tier brokers, however, either welcome new customers to use their own kits or help them build fresh ones on platforms like MT4 and MT5, both of which include utilities for kit building. But it’s best not to jump on the first platform that appeals to you, particularly if this is your first time assembling kits for personal use. Try at least three offerings from different brokerage sites to get a feel for how easy or challenging it is to complete the task. When doing this kind of experimentation, focus on just a few features that you are sure you’ll want, construct some bare bones kits, and test each one.
Compare with Ready-Made Toolkits
Don’t overlook the ready-made toolkits on the market. Prices are reasonable, and there are plenty to choose from. Some newer traders prefer to work with a prefab kit that allows a bit of customization in terms of adding or removing a couple of features. It’s a worthwhile way of finding out whether you want to create your own setup from scratch or stick with a ready-made version until you gain experience with buying and selling your favorite assets and securities.
Rupali Gupta is a blogger and professional writer who loves to write about technology and entertainment. Techzimo is one of her successful websites filled with great tech news, Know more about her on Youtube Facebook Twitter Linkedin Instagram