When to Automate Your Trading
Trading automation can improve consistency and efficiency, but it's not suitable for every aspect of trading. Learn what to automate and what to keep manual.
What to Automate
Data Analysis
Performance metrics, market analysis, and pattern recognition
Risk Management
Position sizing calculations, stop loss placement, and portfolio heat monitoring
Trade Documentation
Trade logging, performance tracking, and report generation
What to Keep Manual
- Final trade decisions
- Strategy adjustments
- Risk tolerance changes
- Market regime analysis
Implementation Steps
Follow these steps when automating:
- Start with data collection and analysis
- Add automated alerts and notifications
- Implement position sizing calculators
- Consider automated reporting tools