In today’s energy markets, trading volumes are increasing rapidly, due to automated trading bots and more active players.
Over 60% of all trades conducted in EPEX intraday continuous trading are placed and executed by automated routines, using the EPEX SPOT interface. Other markets, such as Nord Pool and South Pool follow this development and show an increasing number of automated orders being placed.
While this development isn’t new in power trading, it’s now shifting into gas trading as well. Spot markets on PEGAS and Trayport are already available on third-party software that allows automated order placement and trade execution. Products on forward markets will soon be available. This ongoing development provides new opportunities in gas trading to make your trading strategies more profitable.
Automation significantly speeds up execution. The current dynamics in power and gas markets increase competition further. Gaining the competitive edge will become even more important in order to get the best deals.
Finding good trades manually over screens will become increasingly difficult. Automated trading software provides features to place orders and execute trades in a stable manner. Traders can focus on their core business, to analyze markets, develop strategies and adjust their algorithms.
Beyond order placement and trade execution, automated trading software runs algorithmic trading strategies as a preliminary stage, resulting in orders to be placed and executed. The algorithms exploit additional margins out of flexibility that arises from volatile markets and flexibility in a power production portfolio.
Automated software quickly collects and analyzes data - such as market prices, weather forecasts, order book updates, and more - evaluates an algorithmic trading strategy, and places resulting orders on the market - in just a few seconds.
The good news! Automated software solutions are available - right now. FORRS develops a custom roadmap with you to leverage the best automated software available. Our proven Maturity Model creates recommendations for your architecture and roadmap planning, based on your unique data and trading requirements, to increase your ability to actively participate in markets, instead of merely reacting to market situations.
Take advantage of our long experience in automated and algorithmic trading, along with our Maturity Model, to get the most out of automated energy trading.