- A trading strategy where buy and sell orders are placed automatically based on an underlying system or program. The buy or sell orders are sent out to be executed in the market when a certain set of criteria is met.
Some investment newsletters provide an autotrading feature where, based on the newsletter's recommendation, an order to buy or sell a position is sent to the subscriber brokers automatically.
Autotrading and systems or programs to form buy and sell signals are used typically by active traders who enter and exit positions at a much higher rate than the average investor. There are also a wide range of systems that differ on the set of criteria used to generate the buy or sell signals. Typically, the criteria used is more technical in format - in that it focuses on price movement and technical indicators. These autotrading systems are used in a wide range of markets including stocks, futures, options and Forex.
Investment dictionary. Academic. 2012.
Look at other dictionaries:
Foreign exchange market — Forex redirects here. For the football club, see FC Forex Braşov. Foreign exchange Exchange rates Currency band Exchange rate Exchange rate regime Exchange rate flexibility Dollarization Fixed exchange rate Floating exchange rate Linked exchange… … Wikipedia
Eurocar — Werkslogo Die OOO Eurocar (Єврокар) ist eine Tochtergesellschaft der Škoda Auto, a.s. mit Sitz in der Ortschaft Solomonowo (Соломоново) in der Ukraine. Das Unternehmen ist im Jahre 2001 als ein Joint Venture des deutschen Konzerns mit der… … Deutsch Wikipedia