What is a good return for algo trading?
In our market, which has a very different set of rules, it seems that the most profitable investment strategies are medium-term in time horizon. The yearly rate of return, for skillful private investors with several million USD, can be about 50\% or so, but this number does, of course, vary from year to year.
How profitable can algo trading be?
Only one in five day traders is profitable. Algorithmic trading improves these odds through better strategy design, testing, and execution.
How many times can you compound gains to Double Your Money?
The answer tells you how many times you have to compound that gain to double your money. If you get three 24\% gains — and re-invest your profits each time — you will nearly double your money. It’s much easier to get three 20\%-25\% gains out of different stocks than it is to get a 100\% profit out of one stock.
Do you use algorithmic trading for trading?
Most of your previous answers seem to come from computer people who use “aglorithm” for any set of instructions. Algorithmic trading definitely improves trading efficiency, although the value to working on your own algos is quite small. Unless you’re working for a large and aggressive trading firm, the standard algos are all you need.
Is it possible to make 1 percent a day in trading?
Firstly, 1 percent a day would quickly amass into huge returns that simply aren’t attainable. Secondly, your returns won’t be distributed evenly across all days. Instead, you’ll experience both winning and losing days. This might come as a disappointment if you had anticipated that such returns indeed were possible.
How much money can you make from swing trading?
However, with typical swing trading, provided that you don’t risk too much, you should be happy getting anything from 15-30 percent on average. So let’s now assume that you can make these 0.15\% a day.