Modrika algorithmic trading

1. Algorithmic Trading Workshop 1.1

2. Introduction What is Algorithmic Trading? • transaction decisions in the financial markets. A trading system that utilizes very advanced mathematical models for making • determine the optimal time for an order to be placed that will cause the least amount of impact on a stock's price. The strict rules built into the model attempt to • by dividing the large share block into smaller lots and allowing the complex algorithms to decide when the smaller blocks are to be purchased. Large blocks of shares are usually purchased Page 2

3. Introduction What is the use of Algorithmic Trading? • commonly investors due to the large amount of shares they purchase everyday. The use of algorithmic trading is most used by large institutional • to obtain the best possible price without significantly affecting the stock's price and increasing purchasing costs. Complex algorithms allow these investors Page 3

4. Introduction Demand and Supply • most fundamental concepts of economics and it is the backbone of a market economy. Supply and demand is perhaps one of the • Demand refers to how much (quantity) of a product or service is desired by buyers. • The quantity demanded is the amount of a product people are willing to buy at a certain price • demanded is known as the demand relationship. The relationship between price and quantity Page 4

5. Introduction Demand and Supply • Supply represents how much the market can offer. • of a certain good producers are willing to supply when receiving a certain price. The quantity supplied refers to the amount • much of a good or service is supplied to the market is known as the supply relationship. The correlation between price and how • and supply. Price is therefore, a reflection of demand Page 5

6. Your Bright Future and Happiness is one step away Our Social Media Profiles are Page 6