Setting Up Your Stock Trading Bot

A picture is worth a thousand words. Take a look at our Quick Start image below. A detailed guide is provided after the image.

StockHero allows you to automate trades right from your computer or phone. No coding skills are needed. Trade popular stocks such as Tesla or Apple with bots based on technical indicators 24/7. Sign up with StockHero and get your first bot running in just five simple steps.

StockHero is a Software-as-a-Service (SaaS) platform that offers automated and algorithmic trading features to our users in a user-friendly interface. Unlike many other platforms that require you to send funds to them, StockHero does not. Instead, it trades from your existing brokerage account (e.g. TradeStation.com) using an API (Application Programming Interface) connection.

Check out the video that explains how StockHero works.

Integration with your brokerage can usually be done in a few clicks in StockHero. As you start your journey of algorithmic trading with StockHero, you will be pleased to know that so many complex features are now distilled into a simple and intuitive User Interface.

1. Asset

Start by connecting to a brokerage or using a simulated paper trading account. In StockHero, a paper trading brokerage named "Paper" has been created by default. All trades done within the Paper brokerage are risk-free and use fake funds. Once your brokerage account has been connected, a list of available stocks will be available to you for selection.

If you do not see a stock that you would like to trade, send us an email ([email protected]), and we will add it within a day.

A Long strategy aims to buy a stock at a low price and sell it at a higher price. It requires your brokerage currency, usually USD, to execute the trade.

StockHero also supports the Short strategy. There are two types of short strategies - the physical short and margin-short. To run a physical short strategy, the bot will sell the underlying stock that you already own. For example, if you want to short AAPL, you will need to own AAPL shares in your brokerage account.

StockHero also supports margin-short. In the latter's case, the bot will use your funds (e.g. USD) to sell the stock. You do not need to own the stock in order to run the margin-short strategy. Margin-short will usually incur a borrowing cost charged by the brokerage. Please check with your brokerage on the cost.

Please note that margin-short is only available on selected brokerages and for Premium and Professional subscribers.

2. Trade Parameters

StockHero retrieves your holdings and available currency balance directly from your linked brokerage account. This information is then displayed within the platform, allowing you to allocate funds to your trading bots. In most cases, the bot will operate within the capital limit specified in the Fund Allocation setting.

3. Entry Conditions

StockHero allows different rules for entering and exiting a Deal.

Users may enter with Bollinger Band and exit with EMA or set up multiple 'and' and 'or' rules with multiple indicators.

It takes many years of trading experience to create a strategy that works the majority of the time. Hence, for users new to the world of algorithmic trading, we recommend taking a look at preset bots available in StockHero's Bots Marketplace.

4. Exit Conditions

Using a technical indicator for exit conditions is optional. Users may choose to exit positions based on Take Profit or Stop-Loss parameters. Note that Take Profit and Stop-Loss are not treated as technical indicators and will take precedence over any indicator-based exit conditions.

5. Backtesting

You may now backtest your strategy across different time frames to ensure the strategy is viable. While backtesting can provide insights into a strategy’s past performance, it is important to note that past results do not guarantee future outcomes.

StockHero allows you to backtest various time windows. For example

1D = Last 24 hours

1W = Last 7 days

After you have selected the time window, simply click the Run Backtest button. Users on the Professional Plan have access to custom time window selection for more tailored testing.