This project reviews the development of hands off, automatic day trading application.
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README.md

README.md

Day Trade Automation

This project reviews development of an application that will automatically day trade. Orders will be triggered, based on a stock's performance.

Step 1: Obtain stock data

I choose to use a combination of Yahoo's and Kibot's finance API to obtain stock history.

Step 2: Analyze/calculate stock's performance

With AWS Lambda, a serverless cloud computing service, a daily function is triggered that analyzes all Nasdaq and NYSE stocks and determine which to buy based on the following criteria:

  1. Stocks with an average volume greater than 10,000

  2. Stocks greater than $8, but less than $40 (increasing as the portfolio increases)

  3. Stocks that pay dividends

  4. Stocks with a low positive P/E ratio

  5. Stocks that have been consistently closing higher the past 4 days

Based off these results, the application further analyzes sectors and buys stocks with a best effort to diversify the portfolio. The application is currently configured to post the "best" stock from the above criteria. I define the best as a high potential on returns, based on price and P/E ratio. The following is a link to those daily reports:

http://stock-day-trade-reports.s3-website-us-west-2.amazonaws.com/

Step 3: Choose brokerage

Take your pick of a brokerage that offers an API.

Step 4: Set buy/sell trigger

Based on the results from my stock analysis, a buy function is triggered to purchase the stock. I have my brokerage mail forwarded to an S3 bucket, and on a successful buy order, a function is triggered to place a limit sell order of 1.02% of the purchase price.

Step 5: Get paid

Please direct any questions or comments to jason@solvingnet.com

Disclaimer: This is not investment advice. Use at your own risk.