Is Algo Trading over hyped in India? or, will it actually turn out to be a practical reality for retail traders?

Algo trading has been around in the US markets for a long time now. The technology at its peak, in terms of less latency, no pre approval required for the algo model, etc etc. But, still we find the most popular DayTraders from the US markets ( who are active on social media ) continues to favour manual trade setup profiling and trade execution.

Is the current Algo trading scenario in India over hyped? What is your opinion?

Will Algo trading ever turn out to be a practical reality for individual traders in India? or will it continue to remain a privilege only for institutional traders, like the rest of the world scenario?


If normal trading strategies does not work out for people why would algo trading work? Indian markets are highly volatile for any decent strategy to be automated. The system that zerodha has is even worse with popup boxes requiring you to confirm your trades.


Algo trading may help to remove emotions from the trading and can enter and exit a trade at particular time but algo trading may cost you money, share markets have emotions involved in them, the share price may rise or fall because of any news which may be good or bad or for any other reason.
I personally had tested algorithm trading with virtual demo money in forex market and I found that at first it will help you earn some money but in in 10 minutes your overall capital can get vanished. The best method to do share market trading is manual help.
Algo trading helps you to to pinpoint the the entry and exit points but without manual intervention algo trading will eventually lose you money. You can use algo trading to predict entry and exit points and then and tell use your own judgement and do manual trading based on the algorithmic trading decision along with some fact and figures. But I would not suggest you algorithmic trading.


I have developed algos for Futures, forex and crude oil on python and mt4. Personally I prefer manual trading based on support resistance. For better attentiveness, I used alerts.

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I dont think that there are any professional trader on this market who will have any sort of confidence in algo trading. It is just impossible to make some significant money out of it, let along to make profits on a long run. Manual trading is still not able to be switch by any algorithm

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I use my algos to find needle in haystack. Then its manual execution. I also have written some live algos to help me time my entries and exits. These charts keep running on a separate monitor. I could not gather enough courage to go all auto till now, partly because I dont know Machine Learning.

I think there are very few people running completely auto execution. Its all secretive so cant be sure !


For positional trades on Equity,ETF, Currencies and Commodity, I do it manually.

But for intraday trades in equity, I do semi-automated Algo trading by using the Opening Range Breakout strategy. For this, I make use of the trading bot created by @KirubaKaran . I have been using this with a specific set of rules since June 1st as an initial experiment with a minimal trading capital of 20,000. There are drawdowns in between, but the cumulative growth as per the percentage of the trading capital deployed every day since June 1st has been positive. About 6,700 INR before charges (about 2.5k in brokerage and taxes to be deducted) has been the return since then.

Note: for any semi-automated/automated intraday trades done on Zerodha, you will have to manually exit orders before 3:20 pm, else you will be charged “call and trade charges” by Zerodha’s risk management system for squar-off of each open trade.


Many of the retail trader like me using algorithmic trading. If you know python, maths, statistically,
and machine learning, you can build profitable system in 2 to 3 month.

There are few services which automates trades in a smarter way so you wont be annoyed with multiple confirmation popups.

Now a days you just need to have profitable strategy to start your algo trading journey. You should be master in stock market and not in coding.

Few online platform provide you beautiful platform where you just need to select stock and quantity. Create a strategy for entry or exit of the trade based on the combination of the technical indicators. Once you create your strategies, you can deploy them, the strategies and trade will be initiated.

Its so simple now a day.

yeah, they are not really worth it. It takes months to develop a viable automated strategy and the service that you are marketing here isn’t really cheap.

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Yes you are correct. Time and cost, it takes months to develop it and that’s the only reason its not in reach for retail traders.

hi r u using square off now? how was your experience with squareoff

Source Code Availability

I am offering the source code for both algorithms for sale. If you’re interested in enhancing your trading strategies with these professional tools, please feel free to reach out.

I look forward to your feedback and any questions you may have about these algorithms. Let’s discuss and improve our trading strategies together!

Best regards,

hi are u still trading with square off? how was your experience with squareoff?