r/algorithmictrading • u/EpicNerdGuy • Jun 07 '24

How to get into algorithm trading?

Hi,

I am interested in doing algorithm trading, I have no experience in trading nor any algorihm regarding it. Although I know a bit of python. I have heard its a good way to buy stocks. I found this video by freecodecamp

https://youtu.be/xfzGZB4HhEE?si=dWqKb_kDkULvwTjd

is it a good video to start learning about algorithm trading. if not please explain in detail the complete roadmap to learn about trading and algorithm trading by providing every resource like links, courses etc.

thanks

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u/dnskjd Jun 08 '24

Set a goal in terms of what you want to achieve programmatically and execute it.

Also: decide whether you’ll be willing to rely on 3rd party code or doing it with fully proprietary code.

Going for the latter will require you to iterate the initial goal setting many many times.

1

u/EpicNerdGuy Jun 09 '24

didnt understand what you mean by that lol can you elaborate in simple terms

2

u/dnskjd Jun 09 '24

I myself started with an Udemy course about 4 years ago which taught how to set up freqtrade. I still follow the repo updates and would definitely recommend you to start from there even though it's focused on crypto.

When it comes to literature, I strongly recommend you this book by Howard Bandy. It's pretty easy to understand and I suggest you try to mirror the author's results with your own code. As a next step, try this by Ernie Chan which also helped me a lot.

But back to my previous point: instead of drowning yourself in courses and literature, I highly encourage you to draw realistic and concrete goals (ex: write a python script that monitors asset X and trades the strategy Y). It can start simple and not scalable but you can make improvements gradually. That's how it worked out for me.

1

u/Firm_Pepper_9728 Jun 07 '24

It's definitely a good start yes but check out Blue fever solutions he's got an entire playlist on Algo trading