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Getting Started with Forex Trading Using Python

Getting Started with Forex Trading Using Python

By : Alex Krishtop
4.3 (3)
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Getting Started with Forex Trading Using Python

Getting Started with Forex Trading Using Python

4.3 (3)
By: Alex Krishtop

Overview of this book

Algorithm-based trading is a popular choice for Python programmers due to its apparent simplicity. However, very few traders get the results they want, partly because they aren’t able to capture the complexity of the factors that influence the market. Getting Started with Forex Trading Using Python helps you understand the market and build an application that reaps desirable results. The book is a comprehensive guide to everything that is market-related: data, orders, trading venues, and risk. From the programming side, you’ll learn the general architecture of trading applications, systemic risk management, de-facto industry standards such as FIX protocol, and practical examples of using simple Python codes. You’ll gain an understanding of how to connect to data sources and brokers, implement trading logic, and perform realistic tests. Throughout the book, you’ll be encouraged to further study the intricacies of algo trading with the help of code snippets. By the end of this book, you’ll have a deep understanding of the fx market from the perspective of a professional trader. You’ll learn to retrieve market data, clean it, filter it, compress it into various formats, apply trading logic, emulate the execution of orders, and test the trading app before trading live.
Table of Contents (21 chapters)
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1
Part 1: Introduction to FX Trading Strategy Development
5
Part 2: General Architecture of a Trading Application and A Detailed Study of Its Components
11
Part 3: Orders, Trading Strategies, and Their Performance
15
Part 4: Strategies, Performance Analysis, and Vistas

Working with saved and live data – keeping your app universal

In the previous chapter, we quickly observed various methods to get market data from LMAX, one of the most important ECNs in the FX market. Without going into too much technical detail, we can assume that most other brokers, trading venues, and data vendors use more or less the same protocols and APIs based on socket connections. So, it should not be a problem to re-adapt your code to start retrieving data from a new source.

However, from the previous chapter, I hope you also remember that despite similarities in the transport layer of the connection, almost every data source has its own features that can only be found in its documentation (and sometimes, unfortunately, only in direct talks with its technical support).

This means that even if you implemented—for example—Financial Information eXchange (FIX) protocol version 4.4 with one broker, it is quite possible that you will have to modify something...

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