| |
Have you completed lesson 7’s action steps?
If not, complete those steps before reading on.
Choosing Your Charting Software
A trading system is of no use without the tools to implement the system.
However, choosing a package, or deciding whether to use one at all,
can be very confusing to a beginner. This is especially true when
you consider that there are literally hundreds of software packages
available to assist traders.
When looking at pages, do not spend a thousands of dollars buying
any charting software. Often the price is inflated to capitalize
on the mentality that the more expensive the better. Truthfully,
most charting packages perform very similar functions and a charting
package under $1000 will perform just about all of the tasks required
by even the most advanced traders.
Secondly, choose a charting package that has a large user base…
that way, when and if you need help, there will be plenty of support
channels available to you.
Personally, I use and recommend MetaStock
(I have used it for years). It contains just about every bell and
whistle a trader would need. It is also easy to use and is considered
a market leader for good reason. In fact, MetaStock has been voted
the winner of the "Stock and Commodities Reader's Choice Award for
best analysis software" 11 times.
By far the most powerful feature of MetaStock is the Exploration
module. Quite simply the explorer gives the user the ability to
scan through tens of thousands of securities at a single time identifying
only those that meet predefined criteria. This function alone makes
MetaStock invaluable. It almost completely automates your trading
system.
The exploration module is just one benefit; MetaStock also has the
advantage of some invaluable back testing options too (we will cover
the importance of these next chapter).
The other good news is that, Equis boasts a user base of over 100,000
users for their MetaStock products. So you can be sure to find any
support your may need.
You won’t have to look very hard for support either; I have set
up a website with the sole purpose of helping the MetaStock community
www.meta-formula.com.
On this website alone, you will find all the support you need to
get the most out of MetaStock.
No matter what charting software you do decide to go with, I will
offer you a word of advice. It is important to recognize that software
is simply a tool that aids a trader in undertaking their business
activity. There is no such thing as a software package that does
everything for you.
Steer clear of any packages that gives buy and sell recommendations.
Commonly referred to as “black box programs.” I have found, with
rigorous testing, that black box program packages simply do not
work.
In general traders who believe in the myth that you can just hand
over your hard earned capital to a computer program and sit back
and collect checks and build wealth are not dealing with reality
at all.
They want to make the money successful traders do, yet they do not
want to put in the hard work necessary to develop the skills needed
to become and stay successful.
Your time and money is best spent elsewhere.
While I do I recommend MetaStock, these are some other packages
worth looking into include: Advanced Get, OmniTrader, SuperCharts,
AmiBroker, Market Analyst and TradeStation.
When you’re ready, in the space below, write down which charting
software you plan to use:
Lastly, charting software is not much good without market data.
Yes, some software packages offer their own data feeds, but most
operate with third party feeds. Which data provider you go with
will vary depending on what software and market you decide to trade.
Nevertheless, as you would imagine I have tested just about every
data provider you can find, after all that, I have found one does
just about everything.
If you’d like to learn more about this total
data management solution that I have found click here.
Not only does it support stocks, futures, and foreign exchange for
markets in Australia, Asia, Canada, Europe, UK and USA but it is
also compatible with most charting packages. It really is a total
data management solution.
Alternatively, you may like to do some research. Once you have found
an appropriate data provider in the space below, write down which
data provider you will use:
Let’s get your charting software & data right.
|
|
