We shall now focus on the EasyLanguage programming language (see Fig. 1) which can be part of theTradeStation software platform. Even its name indicates that it is a encoding language for “non-programmers”. Its biggest benefit is that if you know the fundamentals of English and you are familiar with conditional functions in Microsoft Excel, you can quickly learn the substantial part of this programming language. The basic motivation for development of EasyLanguage was a vision that algorithmic trading should be offered to traders that are not skilled in programming. I myself am a very good proof that EasyLanguage can be relatively easily mastered even if there is no need of any understanding of programming.
EasyLanguage enables you to create: Functions that are the backbone of EasyLanguage. Thanks to them this tradestation easylanguage would work for “non-programmers”. Functions contain programmed codes of technical indicators. Technical indicators are the essential foundations of robust ATS.
Indicators are technical indicators which can be directly displayed inside the price chart.
TradeStation and also the Stochastic Fast indicator below the price chart
ATS (Strategy)- ATS enters and exits positions as defined in the programmed algorithm. TradeStation and an illustration of this a basic strategy displayed within the price chart. TradeStation and a good example of a basic strategy displayed inside the price chart. EasyLanguage contains a huge number of pre-programmed functions and indicators what are the cornerstones of ATS. Therefore it can save you many hours of work right from the beginning because you do not have to program these types of functions and indicators.
We now have explained there are software tools that can build almost unlimited quantity of ATS Yet we must know very well what the codes created by the genetic programming “tell us”. In my courses I sometimes meet traders who use ATS the principles which they absolutely tend not to understand. With regard to the stability in the psychology of trading this example is very disadvantageous for that trader. And so I prepared the course Building Winning Automated Trading Strategies with TradeStation in which I explain ATS codes in more detail. Graduates of the course will be able to clearly identify the meaning of programmed algorithms. This can help these to increase the profitability with their trading since they get a lot more confident regarding the programmed ATS codes. Traders learn to understand the meaning and indications of:
Reserved Words that are words that EasyLanguage reserved for specific tasks. Without these words we will have to laboriously program individual algorithms, like BUY, MARKET, etc. Remarks which can be words or opinions that the programming language completely ignores which have simply no influence on the algorithm. Traders can utilize them for their particular notes in the code.
Variables are user-defined words that serve for storing of certain information (that generally modifications in time). Variables allow adaptation of ATS to the present market conditions (for example the current volatility). A variable might be, for example, the ATR indicator the value of which changes over time.
Input parameters (Inputs) are numeric values ??which do not alternation in time. A good example may be the entire moving average of Close prices. Their value changes only if we, for example, periodically re-optimise our ATS according to the Cluster Walk Forward Analysis (CWFA). CWFA is the cornerstone of the robustness testing. It is incorporated in uaullk TradeStation platform because of that the platform clearly beats its competitors.
Entry prices and Entry conditions determine at what price and under what conditions to enter the marketplace. An entry price is a predefined price breakthrough (e.g. Breakout) and the entry condition might be, for instance, a crossing of two indicators and after that the device enters the market at the Close price of the existing bar.
Entry order type says us whether we enter by Market, Limit, Stop Market, Stop Limit, or other order.
Exit prices and Exit conditions determine at what price and under what conditions to exit the marketplace. An exit cost is a predefined price level and the exit condition might be, for instance, a crossing of two indicators then the program exits the current market at the Close cost of the current bar.
Exit order type says us whether we exit by Market, Limit, Stop Market, Stop Limit, or any other order.
Within this chapter we showed you how complex the problem of programming algorithms inside the EasyLanguage programming language could be. EasyLanguage is certainly not a perfect programming language (you will find much better programming languages, yet their ??primary purposes are other than trading), but it delivers a very user-friendly solution for traders “non-programmers” who would like to seriously participate in building of robust ATS. The good news for each “non-programmer” trader is the fact that this programming language as well as its basic features are relatively easy to learn.
For instance, in case you are familiar with the basic principles of MS Excel, there is absolutely no reason why you should not learn EasyLanguage (I do believe that EasyLanguage is simpler than MS Succeed in many respects). Inside our course, beginners as well as advanced ATS traders can very efficiently learn the basics of EasyLanguage codes and due to this comprehend the functionality of robust ATS. In the 4-day course we will give you 4 codes of robust ATS, we are going to also analyse in more detail one of the codes and explain the logical functionality in the codes. Thus you do have a unique opportunity to know what work the codes are capable of doing to suit your needs within the markets.