Trading Platform or Terminal is an intermediary software provided to the trader by the Stockbroker. With this trading tool, he can directly place orders (buy or sell shares) without being required to call the broker or visit his office for the same. Trading terminals can be accessed on Desktop, Laptop, and Smart Phones.
The Terminals or Trading Platforms have made interaction and trading simpler and taken off the load from the Broker by providing various tools like candlestick charts, technical indicators, trendlines, Fundamental Analysis, and many more.
Traders can handle the complete life cycle of trading through the Platform; they can buy or sell shares, monitor their funds and transactions, check real-time live updates from the market, see current stock quotes, take expert advice from the Stock Market experts, analyze market trends and a whole lot of other things as well.
In the early 1990s trading was a physical activity on the exchange floor as we saw technological advancement exchange and stockbrokers started implementing the new technology into the stock market and today we can trade at our fingertips on mobile.
The Stock Exchange started giving licenses to brokers to access their portal and place orders on behalf of them directly on the portal.
Now, processes have been further simplified. The Brokers have now developed Trading Platforms or Terminals to which they have given direct access to the traders who can go ahead and place orders themselves.
This was a phenomenon launched by the Brokers, who desired to operate their entire business on an online mode rather than any physical interaction.
Basic Features of Trading Platforms :
The Trading Platforms are developed by the Stock Brokers keeping in mind their clients’ requirements and demands. Some of the common features every Stock Broker would have in their Trading Platform or Terminal
Real-time Market updates and Quotes :
This is the most critical feature and it is something that every Trading Terminal would have. The Trading Platform is equipped to bring to you the current prices of stocks of various segments.
Some of the Terminals have built-in capability to handle all segments together, i.e. you can trade in currencies, commodities, and derivatives all in the same software.
Traders moved from the traditional mode of trading to online Trading terminals because of its analytical capability. Trading Platforms are equipped with advanced analytical tools that can merge historical data and trends and do predictions accordingly using various indicators, chart patterns.
These tools are designed in such a way that they work out for you the best profitable stock investment post the in-depth analysis.
As a trader, you wouldn’t need to invest your time and energy in doing these evaluations; the tool will guide you to make the most calculative decisions.
Order Trading tools :
Every Trading Platform would provide you with a clear and user-friendly interface to place the order most conveniently.
Some Platforms have also created videos on “how to trade” using the platform for a better understanding of the new entrants. One thing that all Trading Platforms would keep a close eye on is its speed and efficiency.
Visual Representation of data :
Trading tools are equipped with advanced technology charting and visual solutions. They display all data in a simplified and graphical manner which is easy to understand and assimilate.
Your data and information are all protected in an encrypted format when operating through these terminals.
Critical importance is given to data security and hence all companies who get these platforms designed to get this validated first.