The trading technology arm of the Spanish exchange group Bolsas y Mercados Españoles (BME) has developed an application called SuperTrack, which it says will allow stock market participants and third party users to design their own trading models based on algorithms.
The SuperTrack system includes a two-year intra-day historical record, which is reviewed and updated daily, containing all the information for each share during each trading session: orders, trades, 5 best positions etc. The Spanish market (SIBE) only is available now, but BME says the service will soon be available for XETRA, Euronext and the Milan stock market.
SuperTrack also sports a market simulator, which reproduces past trading sessions while admitting new orders. The system manages the orders in the same way as it does on the actual market. This simulator will enable users to test models or use it as a trader training platform, simulating the circumstances of an ordinary trading session.
BME-owned Visual Trader Systems says the use of algorithms for equity trading is becoming increasingly popular with major brokers. It notes that in 2006 over 20% of equity turnover on the American stock markets was based on algorithms and that this proportion is forecast to rise to over 30% this year. BME says the development of an algorithmic trading tool, coupled with the recent upgrade of the capacity of its SIBE trading platform – carried out in anticipation of the expected increase in trades – is evidence of its commitment to using technology to widen its product range, increase efficiency and improve transparency.