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Algorithmic Approaches for Binary Option Trading

This chapter is for those traders who are “quants” and want to develop or start thinking about developing their own binary option trading or alert systems. Undoubtedly, as the binary option market develops, trading systems will be appearing. The trader needs to be able to evaluate them with caution.

What Is Algorithmic Trading?

Algorithmic trading defines sets of rules that determine the entry and exit points for positions. Automation of these rules helps traders to achieve consistent returns while limiting both risk and emotion. Developing a system to trade binary options is not easy, but it is certainly a tool of the future. A binary trading and alert algorithm is now being developed .

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