Algorithmic Trading

算法交易(Algorithmic Trading)是指以一定的技术指标为依据,事先设计好交易策略,然后将其编制成计算机程序。利用计算机程序算法来判断买入点和卖出点,决定下单的时机、价格和数量等。

Algorithmic Trading is the practice of designing trading strategies based on technical indicators, and implements such strategies with computer software, which applies the various algorithms and carries out the trades by deciding the buy/sell operation, time, price and quantity, etc.

The advantages include:

(1) 下单时大单分拆为许多小单,减小冲击成本;
Large orders can be split into small orders, avoiding to move the market.

(2) 在突涨时更容易买入,在突跌时更容易卖出;
Easier execution when there is a sudden surge or drop of the prices.

(3) 理性止损和止赢;
Rational decisions to limit losses and to limit wins.

(4) 同时操作许多帐户;
Simultaneous trading through multiple accounts.

(5) 全自动操作,无需人们长时间盯盘。
Fully automated operation, no need for constant monitoring of the market by a human being.


There are a number of disadvantages as well.

(1) 某种交易策略一旦被许多人使用,就会产生共振效应。许多机器人会在同一点买入,使得买入价格变高,或者无法买。
When a certain strategy becomes widely used, the effectiveness will be diminished. Many trading parties will be executing the same trades, making trades difficult or impossible.

(2) 假突破或假突跌时,会被欺骗;
A a breakout or a pullback may prove to be false or short-lived. In these situations the trading strategy may incur loses.

(3) 对大势无法准确判断,需要人工干预。
The overall trend of the market is not reflected into most trading strategies, manual interventions may be needed if related adjustments are desired.


Algorithmic trading offers great advantages, but it is not a way to make money with your eyes completely blindfolded. The best result will be achieved through the careful combination of algorithmic trading and human judgments.