Algorithmic trading maximizes efficiency and profitability by using pre-programmed instructions for high-speed trades, leveraging market indicators and strategies for real-time decision-making. It operates 24/7 with lower deposits and emotion-free logic.
Experienced traders rely on market intuition to capitalize on human biases and market inefficiencies, especially in complex markets where models may miss key factors. This expertise enables informed decisions, complementing quantitative strategies.
The strategy identifies patterns of loss-prone trader behavior, such as excessive leverage or averaging down, to capitalize on predictable actions by taking opposite positions. This exploits traders' tendency to amplify losses for profit.