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Archive for the ‘MetaTrader’ Category

Boston Technologies Offers Your Own FX Brokerage for $48´000

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Foreign exchange is the world´s biggest market with nearly $ 4 billion daily turnover.  Almost anybody, subject to background check, can open his/her own FX brokerage for $50´000 or so.

Boston Technologies, as a technology partner, offers to get you up and running in 3 months for $ 48´000 upfront fee and $ 3´000 monthly maintenance fee (no charge for the first 3 months).

The technology is top-notch, uses MT4 and MT5 user terminals. In some jurisdictions, like Seychelles, there are no licencing or capitalization requirements for forex brokers.

Good offer, if you´ve got non-US clients.

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Written by A.S.

August 4, 2011 at 9:54 am

MetaTrader and TradeStation for Autotrading

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From all the back-testing software I’ve had chance to look at there are only two contesters for the 1st prize — TradeStation and MetaTrader.

Both have evolved as automated trading platforms. Both were somewhat inadequate at the very beginning. Online trading technology has progressed exponentially in the last decade. I remember placing the first trades online through Lynd-Waldock account — it was a big convenience for me as I didn’t enjoy the chore of calling the broker on the phone. At about the same time I started to use TradeStation 2000i and some software version from the same company (Omega Research, later Tradestation Securities) — for both versions I spent a couple of thousand dollars as far as I can remember.  Incidentally, made more than that from one trade with the vendor’s stock during internet stock boom.

Soon Tradestation changed its business model to platform subscriptions, introduced online trading functionality and started to offer brokerage services (in fact, mostly in capacity of introducing broker).  The first autotrading experience on Tradestation was with mixed emotions — too often I had to adjust positions manually and the platform rather than internet connection was to blame. However, Tradestation got is straight fairly soon and the last time I used the platform (Y2007, I guess), it worked just seemlessly. Nevertherless, I haven’t used it since and unlikely will use it again.

The reason? There several reasons: EasyLanguage, competition and evolution of programming. EasyLanguage was a great concept — it allowed to write trading systems in almost plain English with very few hard programming rules to follow. The problem is that EasyLanguage you can use only on Tradestation and it is somewhat limited in comparision to general programming languages. Competition has evolved and probably surpassed Tradestation Securities as once near-monopoly autotrading platform provider. Today every major broker supports autotrading by providing it’s own trading platform or by ensuring direct access interface.  Regular programming languages have become more easy to use and more traders have acquired coding skills in languages like C, Java or C#.  Besides, code written in regular programming language can be used with various brokers and platforms or integrated with other systems while EasyLanguage is restricted to one broker, one platform and is not directly compatible with anything else.

MetaTrader 4 platform has gained popularity over the years. It lacks the polish of Tradestation, support documentation is somewhat clumsy, but it is free to end-user (vs $250/mo for Tradestation), adopted by many brokerage companies (vs 1 for TS), programming is in MQL4 language which is similar to C programming language.  Meta Trader 5 will scale up the looks, ease of use and, more importantly, add some adequate trade execution  commands with MQL5.

I’m currently do my system coding work on MetaTrader. The next step (5 years from now?)  is likely to be that all the sytem coding and back-testing work will be done directly in a language like Java or F#, then directly plugged into broker system with no need for intermediary platform like MetaTrader or TradeStation.  And code in mql4 (or mql5) will be easier to translated into, say Java, than EasyLanguage …

Tradestation is developed by a Tradestation Securities in Florida, United States. MetaTrader is a product of Meta Qoutes Software, apparently a Russian company with offices in several countries.

Written by A.S.

October 26, 2009 at 11:00 pm

Zulutrade Adds MetaTrader4 Support

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Somewhat belatedly at the end of June zulutrade.com introduced a feature every industry-standard service should have — support for system development and automated trading platform. Collective2 has support for several such platforms, including TradeStation and MetaTrader. Zulutrade choosed MetaTrader.

To have support for such development/trading platform is a must. By far most system developers use such platforms rather than proprietary code in java, c++ or whatver. Some of the trading algorithms are best traded in fully automated mode as there is no value to be added by manually entering the trades.

MetaTrader4 (MT4) is a good choice. It seems the most popular choice for up-and-coming forex system developers. The platform and qoutes are available free of charge through a variety of brokers by opening free demo accounts. The system code in MT4 is written in a proprietaryMQL4 language (similar to C programming language).

In my opinion, Tradestation is a superior product to MT4. EasyLanguage is easier to master and it leaves more “brain power” to focus on the logic of the trading algorithm itself rather than on how to express it in fairly technical MQL4 (or C) programming language. MQL4 comes hardly with adequate support documentation and leaves a lot to guesswork for those who want to master it. But then, MT4 is a decent competitor to TradeStation, a totally new version — MT5 — is to be available soon and it’s free. Tradestation costs $250 monthly for non-brokerage customers. Generally, the trading system developers have voted and zulutrade.com seems to have made the right choice.

P.S. As a sidenote, Tradestation seems to miss the point by ignoring freemium economy of the internet. It’s their business and they have all the right to run as they want it, but it looks to me that their current marketing strategy is plain inefficient. Small guys, particularly the bright ones, would rather master java, C, C# or MQL4 rather than pay $250/mo for the platform. Big guys hire programmers and don’t need the platform. It leaves them with rather small market segment.

Written by A.S.

August 6, 2009 at 5:19 pm