By considering indices, account the company’s fundamental ratios, et cetera, the quantitative trading forex is based on fundamental analysis. One of the good aims when starting to trade forex is to have good short-term profitability.
However, as time went on, it is important to find a formula that would allow us to get high recurring returns, year after year, because, to multiple our bankroll, that is the only way to become successful investors.
A new trading stage can be entered with quantitative trading. This will allow us to pay less commission, play with the market’s natural inclinations, takes advantage of more opportunities. And there are many benefits you can get from this ultimate guide.
Quantitative Trading Forex Improve Your Technical Analysis
Quantitative trading strategies are very profitable although we are not forced to perform multiple operations. Thus, a lot of money can be saved in commissions. And we do not have to be in front of the screen for hours on end.
We will get a perspective on market movements, and the situation can be analyzed in a better way, and our work as a forex trader will be more profitable and accurate. To see how profitable strategies are no longer profitable when selling and buying costs are added.
The market’s natural trend is on the rise, known by investors. The rational market must rise by the same percentage as economic growth. But, there is an irrational thing in the market. When there is a growth and development of the market, the company grows with it and makes money.
This makes the rising in the price of shares. Obviously, this does not apply to all companies, because some of them have poor management, have made wrong decisions, or are in a sector that is slumping due to technological changes.
Playing with the favorable market’s natural tendency and cooperated with the best forex broker is the smartest thing we can do without losing ourselves in the smallest move of the asset. We are allowed to take advantage of the market’s trend by letting us see the big picture.
More than that, our investment benefits can be based on a reliable and solid foundation. By enabling us to see the bigger picture, quantitative trading allows us to the market opportunity and gets a better advantage, capturing the advantages offered by current market irrationality wherever it occurs.
Advantage of Quantitative Trading Forex
Generally, a trading strategy is based on a single profit from intraday, weekly, daily movements, et cetera. This is a big limitation for investors who can’t see the huge possibilities in the market that are being created every day.
1. Reduces stress
By tinkering with the stock market’s natural tendencies and stopping being lost and blinded by small moves in one direction and another, the money can be earned while we have time to relax and have fun.
In addition, by knowing our strategy behavior in 15 years of backtesting, with quantitative trading forex, we can easily believe in what we are doing, and not get carried away by anxiety and stress when things don’t go our way.
Considering all of these reasons, many trading problems based on fundamental analysis can be solved by quantitative trading based on fundamental analysis. For controlling risk even if it is not known while generating high returns, it is capable.
2. The lower risk of loss
By working with an investment portfolio, we will run a smaller risk of total loss on our investment and will be clear about what we are doing instead of a simple baseline and adjusting this portfolio according to a tested-strategy in a 15-year trial.
There are a lot of ways to get an opportunity to make your
forex trading more profitable. With didimax forex broker, start to enter the forex world with the best preparation and understanding of quantitative trading forex.