So we’ve identified an exciting new potential in stock trading. However, it’s important to know about the types of software you can work with. Trading software serves users with multiple services. They include: facilitating the trade of stocks, currencies (fiat and cryptocurrencies), future markets
Trading software come with a variety of solutions you’ll want to consider when building your app. They include:
- Technical Analysis – You’ll find this in most trading software. It includes chart patterns, moving averages, interactive charting capabilities etc.
- Fundamental Analysis – This grants access to fundamental information like analyst ratings and financial statements. It also offers proprietary tools that help investors simplify their due diligence.
- Paper Trading – Paper trading is a simulated form of trading. You can trial your trading skills before investing in real capital.
- Programmatic Trading – This is an advanced automated software. The software solutions might also come with backtesting functionality. This allows investors to see how trading strategies would work modelled off of historical data.
What software will you need for your target audience? You can hone in and develop an app with Paper Trading software. Alternatively, you could create a large commercial trading platform. One that incorporates Programmatic Trading, Technical and Fundamental Analysis.
With these in mind, let’s briefly turn our attention to the size of the investment platforms you might want to create. This will help define the scope of your project. Commercial Trading
apps are amongst the most popular on App Store markets. They include the likes of Robinhood, Bitcoin, TDAmeritrade and Interactive Brokers. Some trading apps, M1 Finance, for example, offer investment solutions instead of day trading. This means you cannot trade the same stock more than once a day.
One of the biggest attractions of these apps is commission-free trading or low-cost trading. This is combined with varied and advanced software. They're user-friendly with lots to offer investors. Above all, they've attracted millions of people to the potential of fintech. Proprietary Trading
refers to the commercial banks and firms that can invest capital they already own. They have the competitive advantage of market knowledge and strategies, complex investment vehicles and derivatives. They stockpile and provide liquidities on their securities.