Use of Algo for Trades

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Imported from previous forum

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Hi All, I am new to this web site and FIX Protocol in particular. I am hoping to do further research in algo trading and wanted to ask the following:

  1. Is it possible for an individual to implement an algo strategy using the FIX protocol and then use this system in trades?
  2. Which broker(s) will allow a connection from an individual for test purposes and for live purposes?

Thanks in advance.

Sunday

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Lime and Interactive Brokers will both let individuals open accounts.

I don’t know if they allow FIX, if not, they will have an API that may be easier to use.

Ted

Hi All, I am new to this web site and FIX Protocol in particular. I am
hoping to do further research in algo trading and wanted to ask the
following:

  1. Is it possible for an individual to implement an algo strategy using
    the FIX protocol and then use this system in trades?
  2. Which broker(s) will allow a connection from an individual for test
    purposes and for live purposes?

Thanks in advance.

Sunday

4

Hi Sunday,

First of all i can say to you that everything is possible, but everything has it own price…

To your answers.

01 - Yes, you can implement algo and make it send fix orders to any exchange that can accept fix orders.

02 - You will need first to implement this algo, estimate the usage and possible fee that you will return to the brokerage house to make a deal.

After you got a deal there are two ways of proceding - a - connect your system to a brokerage house OMS or - b - connect your solution direct at the exchange (at least in Brazil these would be, in my point of view, some of your possibilities) - once you’re connect, you can use both test and production enviroment.

But, as I told you… Everything will cost…

If you want some more information about how does it work in the Brazilian mkt, you can talk to me at the number +55 11 3147 0720.

Best Rgds,

Lime and Interactive Brokers will both let individuals open accounts.

I don’t know if they allow FIX, if not, they will have an API that may
be easier to use.

Ted

Hi All, I am new to this web site and FIX Protocol in particular. I am
hoping to do further research in algo trading and wanted to ask the
following:

  1. Is it possible for an individual to implement an algo strategy
    using the FIX protocol and then use this system in trades?
  2. Which broker(s) will allow a connection from an individual for
    test purposes and for live purposes?

Thanks in advance.

Sunday

5

Many trading systems have a facility to take FIX connections from clients, which they then re-form to connect to various exchanges in the required exchange API. I used to work in futures support, and I know Pats and TT can accept FIX connections directly from clients.

Pats also offer development help with FIX connections, and conformance testing, I think.

Usually, you will have to arrange a VPN with the brokerage, as the FIX traffic will be clear text.

Speak to mainstream brokerages about the services they offer, the bigger the house the more likely they are to offer this kind of thing.