Expert Insights on Developing Trading Software Solutions

Transcript (Auto translated can have spelling mistakes)

mhm mhm mhm uh so when you're when we are talking about the tools that uh helps for the trading in the crypto or the stock do you use any sort of softwares because when I'm talking about the software is uh what I understood as I have created my cryptocurrency almost three years ago and I started listing in the different exchanges I mean the liquidity pools I'm started to provide some little bit of liquidity and uh some these holders is been gr into a small size of community and stuffs like that so the idea is like you know so when I'm doing this thing I understood there are lot of hackers peoples are actually targeting the peoples who are holding the crypto for example there are some scripts which is running in the background of your Javas I mean your browser that will actually constantly spy on you and take the data and what you are doing in your uh computer it will send back I mean if you have a considerable amount of the crypto holding uh in your ballot and somebody could have found out in some way so I have made some N9 10 extensions in that way like you know to make the people uh feel secure about about their uh um hard earned money holding like whether it can it is earned smartly or uh hardly or that doesn't matter money is money right like I mean uh I mean if you have money it's you feel better if I have money I feel better I mean I mean there is nothing wrong in that like anyway so I have found out these sort of softwares that can actually protect people's from actually getting um attacked against them uh so is there any sort of softwares that you use in order to do or do you have you ever thought of building something that helps you and your people in in a way of Trad the things yeah there's a couple of bits of software um not so there's the security side which I think is is important for everyone you know whether you're investing in trading or or not you need to make sure your computer is protected that your privacy is secure that you don't have in my case I'm I'm I'm I'm a developer I'm not a you know I'm not an investor or a Trader in the crypto I develop uh the uh infrastructure around that like yeah so on the trading side um the software that you need is that's that's needed is the the back testing software so software like Amy broker like real test like wealth lab um trade station uh these sorts of uh softwares allow you to um to get the historical Market data to apply your rules to that data and see how that strategy would have performed over time you can back test the rules and see if they're profitable fine-tune the strategies optimize them adjust them so the back testing software is the most important thing for a systematic Trader whether it's stocks or crypto doesn't matter you need that because we need to be able to generate our signals we need to be able to test our ideas and check that the systems we're using are profitable the back testing software does that you need software to get the data so um the for stocks the commercial providers that that provide the historical data Norgate provides data for the US for Australia for Canada metastock data provides data for all of the exchanges globally and there's many other data providers as well there's quite you know there's quite a few different data providers for Indian stocks inside the Indian market um you need a data provider to give you the historical data and that that historical data needs to feed into your back testing software so you can test your ideas generate your signals beyond that you need your stock broking platform uh which is where you're placing the trades if you want to automate you need a um an automation engine or an API that links your bank testing software to your broker so that the trades can be placed automatically you don't have to automate you can trade manually I have an automation it's a a custom built automation that links Amy broker to interactive brokers and and places trades and manages them for me and my students have have access to that as well so they're the main trading softwares that you need and then you know the obvious things like spreadsheets to record your trades and and track your performance and all of those things as well M so uh when people are approaching you to study about the stock trading you also help them to you also provide the access to these sort of applications which you are using right uh these applications are not mine they're off the-shelf commercial um programs so I will say you need this software go buy it you need this data go buy it that's separate to me um I don't build software I build systems and strategies that go into the software so um so yeah I don't sell I don't sell the software but it's it's cheap commercially available very you know supported uh good track record you know software it's not uh you a lot of people will try and build their own back testing platform it's a waste of time because there already commercial software that does it for you that's that's way better than what the individual person could come up with um so I would just say you just choose practicing software as I say I use Amy broker and realest they they're both great software wealth lab is great software um so you get that and then you just learn to use it mhh see when we're talking about the back testing software like you know uh if you look into the newly developed technological advancement we could actually see AI language models is been used and trained and used in the different aspect of the uh technological development around the finch industry um I mean China is coming up with some better ideas and they have already made some waves in the you know the stock trading already uh China had did uh something like that so I feel this is also very important thing right yeah I think it's becoming more and more important um at the moment AI in trading is a useful tool but it's not replacing the traditional tools not yet m um I think it's still got a long way to go um the way I use AI at the moment in trading is to help to come up with new ideas to brainstorm uh to make suggestions on how to improve uh certain aspects of performance um basically as a sounding board to test ideas with and so on that's it's very useful in that respect right yeah exactly like you know AI won't give everything in uh in a boiler plate uh an expert is really required like you know to figure out what is right and what is uh wrong over there exactly yes yeah so I think there it's it's still very it's not AI there's no free money right there's no there's no free lunch you can't just as a newbie with no trading experience type into an AI and expect to get rich in the markets it's not going to happen it will never happen because the markets are a competition and the best win okay so uh we need to use it as a tool but not put Blind Faith in it and expect that it's going to make us wealthy you know we need to learn the fundamental principles we of trading we need to learn how to manage our risk we need to learn how to allocate our Capital we need to learn how to develop a profitable strategy that is stable consistent robust um and uh and work over time and works across different markets we need to learn all of that and then AI can help us to to do some of that it can help us to come up with new rules that maybe we haven't thought of but we've still got to learn to be a Trader so if for any of the developers who is actually going to listen this particular podcast what uh would be an ideal uh software product that uh you will imagine that you could hard that that doesn't exist yet like like a new software that is needed mhm I mean this particular functionality can make your life much more easier maybe it could be a little bit of automation or it can be some sort of a spreadsheet uh spreadsheet manipulation stuff or uh it can fetch some data and put it in some data dump or maybe some Crown job that will send you out the frequent messages to your inboxes or maybe some security thing that you could actually uh install around the trading station of you like you know maybe it can be a home station or an office station or anything that sort any any one thing which you wish you would be having yeah it's interesting because most of the things that you said are there you know most is is available um I haven't I haven't seen a really great trade like a trade tracking and management software that takes the data from all the different Brokers and presents the performance and the results in a really neat flexible way that allows reporting for tax in Australia or tax in the US or tax in India like that allows you to easily manage all of the paperwork and all of that there's some things here and there there's some okay good packages but I think that's an area where there's still some opportunity um I think there's some opportunity probably in customizing and and interfacing with AI and and allowing traders to to uh interface with AI in a more useful way you know some kind of yeah some sort of API which will be feeding to the machine learning language which is existing in the back end and you will be able to communicate with so let's imagine in this way like you know you are having a system which is actually presenting the data from different markets and you are actually and uh along with that some sort of AI suggestion also coming up with that like you know that actually there's another one another another one that would be really interesting and that is um getting more time series data streams available easily so we have price data we have volume data uh very easily across all the markets but we you know we have some economic data easily but we you know that we don't have fun fundamental historical data cheap easily available you can get it but it's expensive it tends to be expensive but what other time series data can we get that might be useful and valuable for testing system rules you know sentiment [Music] data performed last year and before year like [Music] that and I think that you know democratizing that or or you know making that freely available because most of those things are available but it's expensive you know big hedge funds have you know models and software that produces sentiment data that monitors tweets for different keywords and interprets News Real Time all of that but a lot of that information is not available yet at a c price to the retail Trader you know I feel like there's some opportunity there to to make information more broadly available um I don't know how how profitable it will be because we haven't been able to test it because we don't have it but I would I would really like you know imagine some integration between Google search Trends Google like Google Trends uh Twitter Fe Twitter feeds and other social medias that um that tell us how many people are looking or or talking about a different stock or a different product or something like that that sort of data could be soci something kind of a socially mining all the social Med yeah now the challenge is you don't know it's useful unless you can get a Time series so you can test it you might get the current you know oh look today lots of people are searching for XY Z MH but you don't know whether you should take action on that unless you have that same data over time and then you can test it as a signal for your system so if we can get more different time series data then maybe we can generate some more interesting and unique strategies and uh and improve our performance [Music]