Mean reversion is a mathematical methodology sometimes used for stock investing, but it can be applied to other processes. They are best used to supplement your normal trading software. This is due to the evolutionary nature of algorithmic trading strategies they must be able to adapt and trade intelligently, regardless of market conditions, which involves being flexible enough to withstand a vast array of market scenarios. Also bear in mind, the easiest trading software wont necessarily be the best.
Software that will allow you to find the working methods and dismiss the losing ones while you backtest your strategies. Get Forex Tester 3, the best trading simulator for backtesting, a training platform and a prediction app all in one, and make every trade work for your total success on the currency market. Backtesting provides a host of advantages for algorithmic trading. However, it is not always possible to straightforwardly backtest a strategy.
With high volatility in these markets, this becomes a complex and potentially nerve-wracking endeavor, where a small mistake can lead to a large loss. Make sure that your software is not hindering your progress to any great extent, just to grab a few extra percentage points of execution speed. We will also consider how to make the backtesting process more realistic by including the idiosyncrasies of a trading exchange. Among the major.S. "Lone.1 Billion Sale Led to 'Flash Crash' in May".