Can you incorporate indicators into automated strategy entries/exits?

API Developers
1

Hi! I was looking to automate a strategy that uses the bollinger bands and a moving average, and I was wondering if this was possible, if so, how?

I also would appreciate some assistance setting up the strategy.

2

You can do something like this via API, but using indicators alone this is not yet a possibility. To accomplish this by API, find a standard indicator library, or try to clone one of the Trader indicators using real time chart data as your source.

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3

By copying source code of an existing indicator, can you simulate it with the strategy?

4

You’d have to mirror the way that the trader app handles how indicators receive input, and build your application with that objective in mind. But yes, that would certainly be possible and a useful tool for traders just getting into building API powered apps of their own.

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5

Would I be able to have a bracketed limit order where the limit order follows the bollinger band at all times and the take profit bracket follows the SMA?

Both the bollinger band and the SMA are based off the candle open, so it doesn’t change between candles.

6

Will the use of the API allow you too use automatically identification of crosses or a combination of indicators as buy signals?

7

The API is a general purpose interface for consuming market data, performing user outgoing actions, and responding to user-related incoming updates. Anyone consuming the raw data from the API will have to build an application around these events to accomplish higher level things (like analysis of chart data). That being said, it’s not a huge stretch from receiving market data to writing an indicator/analytical tool that uses that data as input.

8

All the indicators you can see on the Tradovate software are based on the same data you can get from the API. I’ve programmed RSI, stochastic oscillator, ATR, moving averages etc. all from MinuteBar requests to get the getChart endpoint. I’ve found reading the Investopedia article on a given indicator gives a good explanation of how it is calculated. By programming the indicators from the raw market data yourself you get a strong understanding of how they are derived.

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