futures

ETHUSD Futures Market Tick Size Will Change to $1

Digitex
Trading
• Digitex
May 11, 2021

Heads up, traders! Digitex will be changing the tick size on our ETHUSD futures market from $0.25 to $1. On May 12 at 12:00 UTC, the Digitex exchange will be down for one hour as we make the necessary adjustment. So, please keep in mind that you will not be able to access your account during that time. All orders on the ETHUSD will be settled, so you should close them ahead.

The Rising Price of ETH

As you all know, the price of ETH has been on an absolute tear this year, running circles around Bitcoin and hitting a new all-time high of more than $4,200! Even today, as it’s cooled off slightly, the number one altcoin is still registering a yearly gain of almost 2000%. Of course, this is great for traders, investors, and Ethereum enthusiasts. But, when it comes to trading on a ladder, a tick size of $0.25 on an asset with such a high price makes for a poor user experience as contracts keep jumping off the ladder.

The change in tick size on the ETHUSD market will prevent this from happening and also make it easier for liquidity miners. So, we can expect to see more bids and offers closer to the spot price after we make the switch, making the trading experience on the Digitex exchange better for everyone. 

Keep in mind that, on the Digitex platform, the $1 tick is equivalent to 1 DGTX. So, when you win or lose 1 tick ($1), you win or lose 1 DGTX. The contract value of ETHUSD remains the same as it was.

Take Advantage of ETH Volatility Trading Commission-Free

As always, with ETH’s skyrocketing price and swift corrections, there’s no better time to capitalize on the premier altcoin’s extreme volatility. So, be sure to get trading on the platform now! Digitex is the ONLY exchange that lets you pursue high-frequency trading strategies that allow you to place unlimited trades without paying any transaction fees of any kind. Simply trade and walk away with 100% of your profit.

Just please keep in mind that the exchange will be down for around one hour on May 12 at 12:00 UTC while we make the switch. We hope you enjoy the improved trading experience. Any questions at all, please contact our customer support or hit us up on our socials. 

May 11, 2021
Digitex
Trading

ETHUSD Futures Market Tick Size Will Change to $1

Digitex
futures

Heads up, traders! Digitex will be changing the tick size on our ETHUSD futures market from $0.25 to $1. On May 12 at 12:00 UTC, the Digitex exchange will be down for one hour as we make the necessary adjustment. So, please keep in mind that you will not be able to access your account during that time. All orders on the ETHUSD will be settled, so you should close them ahead.

The Rising Price of ETH

As you all know, the price of ETH has been on an absolute tear this year, running circles around Bitcoin and hitting a new all-time high of more than $4,200! Even today, as it’s cooled off slightly, the number one altcoin is still registering a yearly gain of almost 2000%. Of course, this is great for traders, investors, and Ethereum enthusiasts. But, when it comes to trading on a ladder, a tick size of $0.25 on an asset with such a high price makes for a poor user experience as contracts keep jumping off the ladder.

The change in tick size on the ETHUSD market will prevent this from happening and also make it easier for liquidity miners. So, we can expect to see more bids and offers closer to the spot price after we make the switch, making the trading experience on the Digitex exchange better for everyone. 

Keep in mind that, on the Digitex platform, the $1 tick is equivalent to 1 DGTX. So, when you win or lose 1 tick ($1), you win or lose 1 DGTX. The contract value of ETHUSD remains the same as it was.

Take Advantage of ETH Volatility Trading Commission-Free

As always, with ETH’s skyrocketing price and swift corrections, there’s no better time to capitalize on the premier altcoin’s extreme volatility. So, be sure to get trading on the platform now! Digitex is the ONLY exchange that lets you pursue high-frequency trading strategies that allow you to place unlimited trades without paying any transaction fees of any kind. Simply trade and walk away with 100% of your profit.

Just please keep in mind that the exchange will be down for around one hour on May 12 at 12:00 UTC while we make the switch. We hope you enjoy the improved trading experience. Any questions at all, please contact our customer support or hit us up on our socials. 

Latest News

digitex

Community Feedback: How Much You Spent on Fees on Other Exchanges

Digitex
• Digitex
May 6, 2021

Digitex is the only exchange that enables high-frequency trading strategies like scalping because traders aren’t punished with commission fees like they are on every single other exchange. Saving on fees means you get to keep all your profit and, as you pointed out in our interactive contest on Twitter last week, that’s money that could be spent in many better ways (like on a Macbook, tablet, or even a nice dinner!). 

How Much You Can Save Trading on Digitex

To celebrate the launch of our new spot markets and show you how much you can save by trading on Digitex versus any other exchange, we decided to hold a giveaway. We’ve told you time and again about the benefits of trading commission-free on our exchange. But this simple competition on Twitter makes an even stronger case:

Community Feedback: How Much You Spent on Fees on Other Exchanges 1

https://twitter.com/Digitex_io/status/1387840633558257668

In the last month alone, our respondents collectively spent a massive $10,819 in commission fees on other exchanges. That’s an average of $190 each. The most that one of you spent was @rpg_ready out of pocket by an eye watering $2700 — definitely enough to cover the costs of a new computer! 

Each comment added 500 DGTX to the prize pool. We received 51 legitimate comments taking the prize pool up to 25,500 DGTX. Thanks to everyone who took part, the lucky winners are:

@sammietech – He walks away with the grand prize of 25,500 DGTX and the three friends he tagged receive 2,550 DGTX each:

@chrisgateC  

@CuitlahuacGJ 

@btsportfootball  

Congratulations to you all! Thank you for taking part and cementing our case for being the best place to trade cryptocurrency futures and spot. After all, wouldn’t you rather have the extra money to trade with, invest, or simply buy your lunch every day rather than helping exchange owners to deepen their pockets?

If you haven’t signed up for an account on Digitex yet, be sure to do so today. It’s quick, easy, and KYC-free. We even pay you to trade through our Liquidity Mining program. If you have any questions or want to find out more, either visit our socials or get in touch via our Live Chat function. 

Also, keep an eye out for our customer feedback survey results coming out next week. We have over 1,200 respondents giving us some truly great insights about our traders. Once we review all the info, we’ll be sharing it with you. 

May 6, 2021
Digitex

Community Feedback: How Much You Spent on Fees on Other Exchanges

Digitex
digitex

Digitex is the only exchange that enables high-frequency trading strategies like scalping because traders aren’t punished with commission fees like they are on every single other exchange. Saving on fees means you get to keep all your profit and, as you pointed out in our interactive contest on Twitter last week, that’s money that could be spent in many better ways (like on a Macbook, tablet, or even a nice dinner!). 

How Much You Can Save Trading on Digitex

To celebrate the launch of our new spot markets and show you how much you can save by trading on Digitex versus any other exchange, we decided to hold a giveaway. We’ve told you time and again about the benefits of trading commission-free on our exchange. But this simple competition on Twitter makes an even stronger case:

Community Feedback: How Much You Spent on Fees on Other Exchanges 2

https://twitter.com/Digitex_io/status/1387840633558257668

In the last month alone, our respondents collectively spent a massive $10,819 in commission fees on other exchanges. That’s an average of $190 each. The most that one of you spent was @rpg_ready out of pocket by an eye watering $2700 — definitely enough to cover the costs of a new computer! 

Each comment added 500 DGTX to the prize pool. We received 51 legitimate comments taking the prize pool up to 25,500 DGTX. Thanks to everyone who took part, the lucky winners are:

@sammietech – He walks away with the grand prize of 25,500 DGTX and the three friends he tagged receive 2,550 DGTX each:

@chrisgateC  

@CuitlahuacGJ 

@btsportfootball  

Congratulations to you all! Thank you for taking part and cementing our case for being the best place to trade cryptocurrency futures and spot. After all, wouldn’t you rather have the extra money to trade with, invest, or simply buy your lunch every day rather than helping exchange owners to deepen their pockets?

If you haven’t signed up for an account on Digitex yet, be sure to do so today. It’s quick, easy, and KYC-free. We even pay you to trade through our Liquidity Mining program. If you have any questions or want to find out more, either visit our socials or get in touch via our Live Chat function. 

Also, keep an eye out for our customer feedback survey results coming out next week. We have over 1,200 respondents giving us some truly great insights about our traders. Once we review all the info, we’ll be sharing it with you. 

Latest News

Trader

Trader Cobb’s Third Webinar Part 3 – The Crypto Cradle Trading Strategy

Digitex Futures
• Digitex
August 27, 2020

After the first two unmissable installments of Trader Cobb’s webinar series, today, we dove into the third class. Craig starts off with a quick recap of some of the fundamentals we learned in the first two classes and reminds us of the importance of being able to identify trends and stay away from unnecessary technical jargon. He briefly reviews what we’ve seen before including support, resistance, moving averages, and candles, and then, without further ado, he starts class three.

The Crypto Cradle Trading Strategy

Craig reminds us that the “cradle zone” is the zone in which the price should start to catch our attention… It doesn’t always mean that we should place a trade, but whether it’s an upward trend or a downward trend, it must be in the cradle zone where we see convergence between the price trend and the indicator, in this case, MACD. 

Now, onto the checklist. Craig says that our job is to tick each one of the essential factors off and make sure that they are all are met before we even consider a trade. There are bonus factors we can use as well, but if the essentials are not met, the trade is not there. “If you do not meet all the essential factors there is absolutely no point in looking at the bonus factors,” he affirms.

Crypto Cradle Essential Factors

Crypto cradle essential factors

He takes us through the essential factors again including the fact that the time frames need to be in agreement, the moving averages must be in the right order, the candle we’re looking at for the trend is in the cradle zone, and the trigger chart is converging with nothing in the way of achieving our target (such as no major support or resistance to ensure at least a break-even result). This means looking at higher timeframes to confirm that the trade price must break the high or low of the entry candle.

He shows us a perfect cradle long setup showing us the upward trend of higher highs and lower lows confirmed by the MACD indicator (below).

perfect cradle long

He then goes back to checking the time frame trends, the next item on the checklist, and then the class goes through each essential item that we need before placing a trade once more with interactive examples so that we can identify whether the trade is valid or not. This provides invaluable practice at learning to identify trends and really understand the signs that show whether a trade is there or not.

Trader Cobb's Third Webinar Part 3 - The Crypto Cradle Trading Strategy 3

While giving participants time to find the answers themselves using the checklist provided, Craig also takes plenty of questions throughout the class via the live chat box and, to prevent any internet issues this week, Craig even tethers the entire class from his phone!

After allowing us to do the exercises ourselves, he goes through them with us using the essential factors on the checklist. “Practice makes perfect,” he says, you are going to need some time on this, so don’t despair if it hasn’t completely sunk in yet. Again, he gives the reminder that, if it’s not clear, it’s not there. 

He advises us not to pressure ourselves and then gives several more examples to work out whether there is a trade or not. If you haven’t taken part in the first two classes, be sure to go back and do them first as you can’t become a profitable trader if you are missing some of the key ingredients. 

Cradle Bonus Factors

Trader Cobb's Third Webinar Part 3 - The Crypto Cradle Trading Strategy 4

As the name suggests, Craig reiterates that bonus factors are exactly that and are only for when you are very clear and understand the essentials checklist. They are simply there to improve your probabilities. He says that the number one bonus factor is having the price pulling back to an old support or resistance level. He then goes through the bonus factors one by one but always reminding us that they are simply additional extras and mean nothing if the essentials aren’t there.

The third class in this series is very hands-on and interactive and Craig gives plenty more exercises for participants to identify the trade going through one-day and two-day trigger charts, working through the essentials, and then trying to add in the bonus factors if they can. He then goes through the examples with the participants, answering their questions, and pointing out the areas that they need to look at by themselves as he won’t be here to hold their hands.

He asks questions like whether we can spot the trend going through the checklist, whether the indicator agrees with the price, and why would it make sense to exit a trade at a certain point? In the example he uses, we can see that a long upward trend is about to take a turn to the downside, so if we are holding a long position, that’s a sign that we need to exit. This third webinar places a lot of emphasis on the students and they get plenty of time to put all they have learned so far into practice.

Becoming a Profitable Trader

Craig reminds participants that there is a lot more to trading than just buying and selling, even if that is the only thing you can do in the market. If you want to be successful and make a sustainable living, you need to think about trading as a business. He talks about the importance of risk management and the other factors that are vital to success beyond your strategy checklist (all of which he will go into more detail next week).

“There is a lot more to trading than many people think,” he says. Traders need to understand not only the market but also their risk, objective, and themselves. He says that it’s fundamental that we learn to be disciplined and to work on ourselves and learn to trade without emotions. 

Don’t miss the fourth and final part of this incredible series at the same time next week in which Craig will be going into more detail on these elements and bringing the whole course together.

And if you’re new to the DFE or want to receive additional help, you can now book an exclusive one on one exchange demo with one of our experienced account specialists. We will show you all you need to know from loading your account up with DGTX to placing your first trade using the one-click ladder and looking at some advanced features as well. Book your free tour now!

August 27, 2020
Digitex Futures

Trader Cobb’s Third Webinar Part 3 – The Crypto Cradle Trading Strategy

Digitex
Trader

After the first two unmissable installments of Trader Cobb’s webinar series, today, we dove into the third class. Craig starts off with a quick recap of some of the fundamentals we learned in the first two classes and reminds us of the importance of being able to identify trends and stay away from unnecessary technical jargon. He briefly reviews what we’ve seen before including support, resistance, moving averages, and candles, and then, without further ado, he starts class three.

The Crypto Cradle Trading Strategy

Craig reminds us that the “cradle zone” is the zone in which the price should start to catch our attention… It doesn’t always mean that we should place a trade, but whether it’s an upward trend or a downward trend, it must be in the cradle zone where we see convergence between the price trend and the indicator, in this case, MACD. 

Now, onto the checklist. Craig says that our job is to tick each one of the essential factors off and make sure that they are all are met before we even consider a trade. There are bonus factors we can use as well, but if the essentials are not met, the trade is not there. “If you do not meet all the essential factors there is absolutely no point in looking at the bonus factors,” he affirms.

Crypto Cradle Essential Factors

Crypto cradle essential factors

He takes us through the essential factors again including the fact that the time frames need to be in agreement, the moving averages must be in the right order, the candle we’re looking at for the trend is in the cradle zone, and the trigger chart is converging with nothing in the way of achieving our target (such as no major support or resistance to ensure at least a break-even result). This means looking at higher timeframes to confirm that the trade price must break the high or low of the entry candle.

He shows us a perfect cradle long setup showing us the upward trend of higher highs and lower lows confirmed by the MACD indicator (below).

perfect cradle long

He then goes back to checking the time frame trends, the next item on the checklist, and then the class goes through each essential item that we need before placing a trade once more with interactive examples so that we can identify whether the trade is valid or not. This provides invaluable practice at learning to identify trends and really understand the signs that show whether a trade is there or not.

Trader Cobb's Third Webinar Part 3 - The Crypto Cradle Trading Strategy 5

While giving participants time to find the answers themselves using the checklist provided, Craig also takes plenty of questions throughout the class via the live chat box and, to prevent any internet issues this week, Craig even tethers the entire class from his phone!

After allowing us to do the exercises ourselves, he goes through them with us using the essential factors on the checklist. “Practice makes perfect,” he says, you are going to need some time on this, so don’t despair if it hasn’t completely sunk in yet. Again, he gives the reminder that, if it’s not clear, it’s not there. 

He advises us not to pressure ourselves and then gives several more examples to work out whether there is a trade or not. If you haven’t taken part in the first two classes, be sure to go back and do them first as you can’t become a profitable trader if you are missing some of the key ingredients. 

Cradle Bonus Factors

Trader Cobb's Third Webinar Part 3 - The Crypto Cradle Trading Strategy 6

As the name suggests, Craig reiterates that bonus factors are exactly that and are only for when you are very clear and understand the essentials checklist. They are simply there to improve your probabilities. He says that the number one bonus factor is having the price pulling back to an old support or resistance level. He then goes through the bonus factors one by one but always reminding us that they are simply additional extras and mean nothing if the essentials aren’t there.

The third class in this series is very hands-on and interactive and Craig gives plenty more exercises for participants to identify the trade going through one-day and two-day trigger charts, working through the essentials, and then trying to add in the bonus factors if they can. He then goes through the examples with the participants, answering their questions, and pointing out the areas that they need to look at by themselves as he won’t be here to hold their hands.

He asks questions like whether we can spot the trend going through the checklist, whether the indicator agrees with the price, and why would it make sense to exit a trade at a certain point? In the example he uses, we can see that a long upward trend is about to take a turn to the downside, so if we are holding a long position, that’s a sign that we need to exit. This third webinar places a lot of emphasis on the students and they get plenty of time to put all they have learned so far into practice.

Becoming a Profitable Trader

Craig reminds participants that there is a lot more to trading than just buying and selling, even if that is the only thing you can do in the market. If you want to be successful and make a sustainable living, you need to think about trading as a business. He talks about the importance of risk management and the other factors that are vital to success beyond your strategy checklist (all of which he will go into more detail next week).

“There is a lot more to trading than many people think,” he says. Traders need to understand not only the market but also their risk, objective, and themselves. He says that it’s fundamental that we learn to be disciplined and to work on ourselves and learn to trade without emotions. 

Don’t miss the fourth and final part of this incredible series at the same time next week in which Craig will be going into more detail on these elements and bringing the whole course together.

And if you’re new to the DFE or want to receive additional help, you can now book an exclusive one on one exchange demo with one of our experienced account specialists. We will show you all you need to know from loading your account up with DGTX to placing your first trade using the one-click ladder and looking at some advanced features as well. Book your free tour now!

Latest News

A Closer Look at Automated Futures Trading 7

A Closer Look at Automated Futures Trading

Digitex Futures
Trading
• Sarah Rothrie
February 19, 2019

One of the first questions on our recent survey asked whether you prefer to use bots, manual trades, or both. A massive 80% of our respondents said they exclusively trade manually, whereas only around 5% prefer to do all their trading with bots. The remaining 15% use a combination of both automated futures trading and manual techniques. So, what are the main advantages of both these strategies? Let’s take a closer look.

Bot Trading Isn’t for Beginners

Relying on automated futures trading isn’t recommended for new traders, not least because they’ll miss out on the opportunity to spend time actively learning about markets and trading styles.
Moreover, traders should also have some understanding of the markets to make sure that when they’re using a bot, they can set it up in the best way to maximize returns.
Nearly 70% of our survey participants said they have at least some trading experience, but still, only 20% automate any of their trading activities with bots.
Of course, many experienced traders may prefer to stick with manual trading. However, if any of our readers are considering changing their trading technique from manual to automated (or even vice versa), here we set out the case for both sides.

Pros of Automated Futures Trading with Bots

Bots provide the opportunity for trading without you needing to be actively involved. If you already have some trading experience, and you’re the kind of person who wants to limit screen time and take a more hands-off approach, using a trading bot could be a good bet for you.
Here are some of the advantages of using a bot to automate your trading activities.

Bots Never Sleep

Whereas manual trading relies on you being awake and present, a bot works in the background. Stock traders on a major exchange with fixed opening hours probably don’t need to worry about trading activities during the nighttime hours.
However, 24/7 trading can be a huge advantage in other markets, such as forex, and especially cryptocurrencies, where the markets can move sharply at any moment.
A bot will ensure you can profit from these movements whether you’re asleep, on vacation or just having a duvet day!
This isn’t to say a full “set and forget” strategy is advisable. You should still monitor your positions carefully, even with the most sophisticated bot running your trading.

Elimination of Human Error and Emotion

We humans are fallible creatures, and trading is a high-stakes activity. Fatigue, fear, or over-optimism can lead to rash decisions or mistakes.
A bot won’t accidentally enter an extra zero in an order or deviate from the trading plan because it had a couple of bad trades and fear intervened in the decision-making process.

Speed and Volume

Trading bots can crunch vast amounts of data at the same time, monitoring an array of trading pairs and making orders in the same instant a position is generated. In trades where every second counts, this can have a severe impact on your profits or losses.
At Digitex, we understand the importance of speed, which is why we’re delivering traders a one-click ladder trading interface so they never have to take their eyes off the price action.

Backtesting

One of the risks in using bots for automated futures trading is that if the rules are not fine-tuned to tell the bot precisely what you want it to do, you could be in big trouble. For example, you may set up a bot with a rule that says never buy higher than the last sale price.
However, this only prevents a buy transaction from happening. If you don’t also put a stop-loss rule in place, the market could bottom out, and you’re stuck with losing positions you could otherwise have sold before the dip.
Therefore, most bots allow you to do backtesting. You input the rules you want the bot to apply and ask it to run them against historical data. This way, you can ensure your bot is performing exactly as you expect it to before you run it on any live trading.

Pros of Manual Trading

While there are some pretty compelling arguments for using a trading bot, there are also many good reasons why some of our users prefer to keep the human touch on their trading. These include:

Cost

Automated futures trading programs come with monthly or annual fees. As a general rule, the more sophisticated the program, the higher the fees. The cost of running a bot is going to eat into your profit margins. Manual trading doesn’t come with these additional overheads.
Of course, as Digitex operates on a zero-fee model, our users have the opportunity to offset some of these costs compared to using other exchanges.

The Human Touch

A good trader will have a feel for the markets. Humans can notice when something unexpected is happening and adjust the trading plan accordingly, whereas a bot will just keep executing according to its rules.
Manual trading allows you to decide whether you have made enough or whether you think the market will keep on delivering returns. Bots require these rules to be set in advance.

Flexibility to Use Any Exchange

Not all automated trading software has the necessary integrations to work with all exchanges. In some cases, you can end up paying more for the flexibility of more exchange integrations. For example, the Cryptohopper software works with nine crypto exchanges, but it costs less than Haasbot, which is integrated with many more.

No Need to Learn a New Toolset

It will take time to learn how to use trading automation tools to maximum effect. In the world of trading, time is money. You may prefer to stick with manual trading simply so you can stay focused on the task itself.
If you have some trading experience and feel like you’re ready to start experimenting with automation, hopefully, we’ve helped you understand the benefits and drawbacks. Regardless of whether you decide to use trading bots or rely on your own efforts, remember there’s no substitute for a solid trading strategy and careful execution.
Stay tuned for more insights from our trading experts on the Digitex news blog over the next few days. We’re here to help you raise your trading game! And if you’re not yet on our waitlist for the Digitex exchange public launch, join the one million people who are by signing up on the Digitex Futures homepage.

February 19, 2019
Digitex Futures
Trading

A Closer Look at Automated Futures Trading

Sarah Rothrie
A Closer Look at Automated Futures Trading 8

One of the first questions on our recent survey asked whether you prefer to use bots, manual trades, or both. A massive 80% of our respondents said they exclusively trade manually, whereas only around 5% prefer to do all their trading with bots. The remaining 15% use a combination of both automated futures trading and manual techniques. So, what are the main advantages of both these strategies? Let’s take a closer look.

Bot Trading Isn’t for Beginners

Relying on automated futures trading isn’t recommended for new traders, not least because they’ll miss out on the opportunity to spend time actively learning about markets and trading styles.
Moreover, traders should also have some understanding of the markets to make sure that when they’re using a bot, they can set it up in the best way to maximize returns.
Nearly 70% of our survey participants said they have at least some trading experience, but still, only 20% automate any of their trading activities with bots.
Of course, many experienced traders may prefer to stick with manual trading. However, if any of our readers are considering changing their trading technique from manual to automated (or even vice versa), here we set out the case for both sides.

Pros of Automated Futures Trading with Bots

Bots provide the opportunity for trading without you needing to be actively involved. If you already have some trading experience, and you’re the kind of person who wants to limit screen time and take a more hands-off approach, using a trading bot could be a good bet for you.
Here are some of the advantages of using a bot to automate your trading activities.

Bots Never Sleep

Whereas manual trading relies on you being awake and present, a bot works in the background. Stock traders on a major exchange with fixed opening hours probably don’t need to worry about trading activities during the nighttime hours.
However, 24/7 trading can be a huge advantage in other markets, such as forex, and especially cryptocurrencies, where the markets can move sharply at any moment.
A bot will ensure you can profit from these movements whether you’re asleep, on vacation or just having a duvet day!
This isn’t to say a full “set and forget” strategy is advisable. You should still monitor your positions carefully, even with the most sophisticated bot running your trading.

Elimination of Human Error and Emotion

We humans are fallible creatures, and trading is a high-stakes activity. Fatigue, fear, or over-optimism can lead to rash decisions or mistakes.
A bot won’t accidentally enter an extra zero in an order or deviate from the trading plan because it had a couple of bad trades and fear intervened in the decision-making process.

Speed and Volume

Trading bots can crunch vast amounts of data at the same time, monitoring an array of trading pairs and making orders in the same instant a position is generated. In trades where every second counts, this can have a severe impact on your profits or losses.
At Digitex, we understand the importance of speed, which is why we’re delivering traders a one-click ladder trading interface so they never have to take their eyes off the price action.

Backtesting

One of the risks in using bots for automated futures trading is that if the rules are not fine-tuned to tell the bot precisely what you want it to do, you could be in big trouble. For example, you may set up a bot with a rule that says never buy higher than the last sale price.
However, this only prevents a buy transaction from happening. If you don’t also put a stop-loss rule in place, the market could bottom out, and you’re stuck with losing positions you could otherwise have sold before the dip.
Therefore, most bots allow you to do backtesting. You input the rules you want the bot to apply and ask it to run them against historical data. This way, you can ensure your bot is performing exactly as you expect it to before you run it on any live trading.

Pros of Manual Trading

While there are some pretty compelling arguments for using a trading bot, there are also many good reasons why some of our users prefer to keep the human touch on their trading. These include:

Cost

Automated futures trading programs come with monthly or annual fees. As a general rule, the more sophisticated the program, the higher the fees. The cost of running a bot is going to eat into your profit margins. Manual trading doesn’t come with these additional overheads.
Of course, as Digitex operates on a zero-fee model, our users have the opportunity to offset some of these costs compared to using other exchanges.

The Human Touch

A good trader will have a feel for the markets. Humans can notice when something unexpected is happening and adjust the trading plan accordingly, whereas a bot will just keep executing according to its rules.
Manual trading allows you to decide whether you have made enough or whether you think the market will keep on delivering returns. Bots require these rules to be set in advance.

Flexibility to Use Any Exchange

Not all automated trading software has the necessary integrations to work with all exchanges. In some cases, you can end up paying more for the flexibility of more exchange integrations. For example, the Cryptohopper software works with nine crypto exchanges, but it costs less than Haasbot, which is integrated with many more.

No Need to Learn a New Toolset

It will take time to learn how to use trading automation tools to maximum effect. In the world of trading, time is money. You may prefer to stick with manual trading simply so you can stay focused on the task itself.
If you have some trading experience and feel like you’re ready to start experimenting with automation, hopefully, we’ve helped you understand the benefits and drawbacks. Regardless of whether you decide to use trading bots or rely on your own efforts, remember there’s no substitute for a solid trading strategy and careful execution.
Stay tuned for more insights from our trading experts on the Digitex news blog over the next few days. We’re here to help you raise your trading game! And if you’re not yet on our waitlist for the Digitex exchange public launch, join the one million people who are by signing up on the Digitex Futures homepage.

Latest News