Ensuring Reliability in Algorithmic Trading: Testing and Best Practices
Abstract
Algorithmic trading has significantly changed the financial markets, enabling traders to execute orders accurately and quickly, which is very difficult with manual trading. However, ensuring these algorithmic orders are reliable and efficient is equally essential. In this white paper, we will discuss the rationale for testing algorithmic orders, the kinds of tests that should be conducted, and how this can be done to guarantee that trading algorithms work perfectly in a live market.