Automation
Automated trading that runs on your rules, not on trust
Automation is the normal way institutions trade and has been for years. What matters for a retail account is not whether the orders are placed automatically, but what the automation is not allowed to do. Every setting on this page is yours to change, and one of them stops everything.
Fully automated or approving each trade yourself
Your rules applied before any order is placed
A one-click kill switch
Start from AU$250
Definition
What an automated trading platform is
An automated trading platform opens, manages and closes positions according to rules that have been set in advance. You define the conditions - how much can be risked, which markets are in play, what time of day it may trade - and the software watches the market and acts when those conditions are met, without you clicking anything.
The important part is the ordering. Your rules are checked before a trade is placed, not after. A trade that would breach your daily loss limit does not get opened and then trimmed; it does not get opened.
Context
Automation is the mainstream, not the experiment
| Point | Source |
|---|---|
| Around 85 per cent of ASX equities volume is algorithmic | ASIC estimate |
| Up to 94 per cent of SPI 200 futures volume is algorithmic | ASIC estimate |
| Algorithmic trading is among the fastest-growing segments in global markets | Industry market research |
These figures describe participation rather than performance. Widespread automation says nothing about whether any particular strategy is profitable.
Compared
Approaches to automation compared
| Rule-based bot | Copy trading | AI automation here | |
|---|---|---|---|
| How trades are chosen | Fixed if-this-then-that rules | Mirrors another trader | Models read live market data |
| Adapts to conditions | No - the rules stay as written | Only as the copied trader adapts | Yes, as the models update |
| Skill required | Setup, sometimes programming | Choosing the right trader | Little - the setup is guided |
| Your control | Editing the code or the settings | Limited | Full risk settings and a kill switch |
| Principal risk | Rules stop fitting the market | The copied trader has a bad run | No model is correct every time |
Lifecycle
What happens during an automated trade
You set the rules
Markets, risk per trade, daily loss limit and the hours automation may operate.
The platform finds a setup
Prices, structure and news across your chosen markets are read continuously.
The trade is filtered
It only opens if it passes every one of your rules. Failing one ends the process there.
The position is managed
Stop-loss and target are attached at entry and applied as the trade develops.
It closes and is recorded
The result appears on your dashboard with the reason the position was opened.
Settings
The settings you control
Automation does not mean surrendering control. Each of these can be adjusted at any time, and the change applies to the next decision.
| Setting | What it controls | Example |
|---|---|---|
| Risk per trade | How much of the balance a single position may risk | 1 per cent of the balance |
| Daily loss limit | Pauses trading once losses reach a set amount for the day | Stop after a set loss figure |
| Maximum open positions | How many trades may run at the same time | Three positions |
| Markets | Which assets the platform may trade | Gold and AUD/USD only |
| Trading hours | When automation is permitted to act | Overnight sessions only |
| Kill switch | Stops all automated trading immediately | One click |
Safeguards
Built into every account
A one-click kill switch
Stops all automated trading immediately. Positions that are already open stay open, and remain yours to close.
Automatic pause at the daily limit
Trading stops for the day when your loss limit is reached, rather than continuing through it.
A full trade log
Every position records why it was opened and how it was managed, so nothing happens without an explanation attached.
Leverage within regulatory limits
Retail leverage caps set by ASIC apply, and negative balance protection through the licensed broker means a loss cannot exceed your account balance.
A news filter
New positions can be avoided immediately ahead of major scheduled announcements, when spreads widen and slippage is most likely.
Balance
Honest advantages and disadvantages
Advantages
- Trades through periods you cannot cover yourself
- Removes fear and greed from individual decisions
- Reacts to news within seconds rather than minutes
- Applies your rules without exception or fatigue
- Removes hours of screen time each week
Disadvantages
- Losses can occur while you are not watching, including overnight
- It only works as well as the settings it is given
- Sudden news can still cause slippage beyond the intended levels
- Past behaviour of a model does not predict its future behaviour
- It is not a set-and-forget income stream, and treating it as one is expensive
Fit
Whether automation suits you: it may suit you if
- You have limited time to watch markets during the day
- You find it difficult to follow a plan consistently under pressure
- You want the overnight sessions covered while you sleep
- You are content to start small and review results weekly
And may not if
- You cannot afford to lose the money you would deposit
- You expect a fixed or guaranteed return
- You do not intend to look at the account again after funding it
Mistakes
Five mistakes to avoid
Treating it as set and forget
Check the dashboard at least weekly and review what the automation did.
Too much leverage
Begin at the lowest level available and change it only with experience and a reason.
No daily loss limit
Set one before automation is switched on, not after a bad day makes the point.
Too many markets at once
Start with one to three markets you actually understand, and add others later.
Believing guaranteed-return claims
Any automated system promising a fixed return is describing something that does not exist. Our review page covers how to recognise the fake ones.
Regulation
Is automated trading legal in Australia?
Yes. Automated and algorithmic trading is legal and widely used in Australia. A broker offering derivatives to retail clients must hold an Australian Financial Services Licence from ASIC, and ASIC has published requirements on how market participants govern the algorithms they operate.
Questions
Frequently asked questions
Is automated trading profitable?
Can I turn it off?
Does it run overnight?
Is automated trading the same as algorithmic trading?
Can I start with a small amount?
What happens to open trades if I hit the kill switch?
Get started
Switch on automation
Register free
The form takes about two minutes and costs nothing.
Fund your account
Deposit from AU$250 in Australian dollars.
Set your limits
Set your rules, switch on Automated mode and let it run.