No Way to Solve the Peak Issue? - Futu Securities Can Solve the “Early Peak” Issue
When the market changes drastically and the trading goes too fast, many brokerage systems start to have problems, such as order blockages and even an entire system collapse. This has not only happened to the mainland brokers, but also to many Hong Kong brokers. Losses caused by such problems are intolerable for investors.
Generally speaking, in the absence of special market news, the trading volume at the stock market during the opening period is the highest, which is called “the early peak of the stock market.” The second-high trading volume happens at the closing period. This is not only because investors have the most intention to trade at the opening and closing periods, but also because there are a lot of pre-set orders to process at that time.
There are diverse ways of trading in the Hong Kong and U.S. stock markets. Not only are there no restrictions on price changes, but also there is short-selling. Therefore, investment opportunities can disappear in one second, and risks often rise in a very short time. Moreover, with more sophisticated derivatives becoming popular, investors tend to trade more frequently. When the fluctuations occur, investors must quickly sense the new market information, seize new opportunities, and avoid risks at the same time.
For example, investors who invest in Hong Kong warrants and CBBCs often need to earn spreads between several price points. When fluctuations occur, they are often very violent. They need to complete the trading within 10 seconds. Therefore, investors must have powerful stock trading tools to give them a timing edge. Internet brokers tend to perform better in this regard.
It is a systematic project to “being fast.” First of all, a good trading system is required. Brokers must have the ability to process a large number of orders. Otherwise, the collapse of the trading system will cause huge losses. Just as the number of runways determines the capacity of an airport, the number of trading channels determines the processing capacity of a broker. Futu Securities, the representative company in the internet brokerage industry, used to invest millions of yuan on expanding its trading channels. The HKEX classifies different levels for different trading channels. Futu Securities is currently at the highest level. After the expansion of trading channels, Futu became the internet broker with the most trading channels for Hong Kong stocks.
In addition to the trading system, the function of stock trading software matters a lot to users’ experience. If the interface is too complicated and not user-friendly, the intangible operation costs will reduce the efficiency of investors. For example, when you are using Futu’s trading software to put in the price, all you need to do is click the price and it will be automatically filled in the price blank. It is absolutely more convenient and less time-consuming than filling in the price by hand. Though it is just a small function, it is very useful to reduce the operation time.
And if you like to customize, you can set it automatically by using trading shortcuts. You can switch freely in the actual operation and avoid frequent clicks. It significantly saves the operation time to make sure that you are trading stocks with the best timing.
There is a military principle that goes, “speed is the key to victory.” If you want to make money in the stock market, you have to have good trading software. Every second in the stock market makes a difference. Don’t lead to regret by not using better trading software, such as Futu Securities, which result in you suffering a huge loss because of bad trading software.