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What is an Investment Robot? Functions of the Investment Robot

A trading robot is software that allows users to make automated buy and sell trades based on a specific investment strategy.

Author ihy . This page was added on 2024-05-08 18:24:56. This page has been viewed 216 times. Category: Investing Robot

What is an Investment Robot? Functions of the Investment Robot What is an Investment Robot? Functions of the Investment Robot

What is a Trading Robot?
A trading robot is software that allows users to make automated buy and sell trades based on a specific investment strategy. These software analyse markets using algorithms, generate signals and implement trading strategies. It is widely used especially in cryptocurrency and stock markets.

Functions of the Investment Robot
Market Analysis:
Analyses technical analysis indicators, news and market data.
Generates predictions and signals with machine learning and artificial intelligence algorithms.

Automated Trading:

Places automatic buy and sell orders based on specific strategies.
Executes various order types such as limit, market and stop-limit orders.

Portfolio Management:
Diversifies and balances the portfolio according to the risk profile of the users.
Periodically rebalances assets.

Risk Management:
Minimises risk with stop-loss and take-profit orders.
It takes into account parameters such as maximum loss and volatility.
How does it identify profitable cryptocurrencies and stocks?


Technical Analysis:
Indicators: Generates buy and sell signals on indicators such as RSI, MACD, moving averages.
Support and Resistance Levels: Determines the critical levels of the price.
Volume Analysis: Analyses changes in trading volume and volume trends.

Fundamental Analysis:
Company/Cryptocurrency Analysis: Analyses factors such as the financial status, team, vision and competitive advantage of the company or cryptocurrency project.
Economic Indicators: Monitors macroeconomic factors such as interest rates, inflation and growth.

Machine Learning Models:

Learning Algorithms: Makes predictions by learning price movements and patterns.
Sentiment Analysis: Analyses market sentiment from social media and news data.
Sentiment Analysis and News Based Algorithms:
It tries to predict investor behaviour by analysing news, comments and sentiment on social media.
Which Criteria Does the Investment Robot Consider When Creating Funds?
Distribution According to Risk Profile:
It allocates assets according to low, medium and high risk levels.
For example, 20% can be allocated for high-risk assets and 50% for low-risk assets.
Liquidity and Volatility:
Assets with high liquidity are prioritised for fast trading.
Volatility is adjusted according to the investor's risk appetite.

Periodic Return Performance:

The performances in the last 1 month, 3 months, 6 months and 1-2-5 years are analysed.
Good performing assets are preferred.
Sectoral and Thematic Allocation:
Portfolio is formed according to specific sectors or themes (e.g. technology, health, renewable energy).
Portfolio Diversification:
Invest in different asset classes to reduce risks (cryptocurrencies, stocks, bonds, etc.).


Trading robots automate buy-and-sell strategies in the cryptocurrency and stock markets, helping investors evaluate opportunities and manage risks in the market. It takes into account criteria such as risk profile, liquidity, performance and diversification when creating a portfolio. However, it is important to remember that trading robots also have risks and it is important to constantly optimise strategies.

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What is an Investment Robot? Functions of the Investment Robot
What is an Investment Robot? Functions of the Investment Robot

A trading robot is software that allows users to make automated buy and sell trades based on a specific investment strategy. Catagory: Investing Robot