Systematic Advantage #18: Better than watching the markets all-day
Systematic trading offers traders numerous benefits, like reducing the need for constant market monitoring. With clear criteria for entering and exiting trades, systematic trading can automate the entire process without requiring traders to monitor the market constantly. This, in turn, creates more time for traders to devote to developing new trading strategies or conducting research to improve their existing system.
Moreover, systematic trading helps eliminate the emotions that often plague manual trading. Emotional decision-making can lead traders to make poor choices and deviate from their strategy. Through predefined rules and criteria, traders can execute trades systematically, removing emotional biases and ensuring that the trading process remains consistent and objective.