Automated Trading Development in Python, Utilizing PyQt and Qt Designer

This course will explain how to develop an automated trading system using Python and how to easily create a GUI (Graphical User Interface) with PyQt and Qt Designer. Trading stocks involves complex and diverse algorithms, but the goal of this course is to build a basic automated trading system.

1. Overview of Automated Trading Systems

An automated trading system is a program that executes orders in the market automatically based on algorithms set by the user. Such systems can be applied to various financial products such as stocks, forex, and futures, maximizing trading efficiency by automating the generation of trading signals and order execution.

1.1 Advantages of Automated Trading

Emotion Exclusion: Automated trading allows for objective trading decisions without being swayed by emotions.
Time-Saving: Automating the decision-making and execution of trades saves time and effort.
Consistency: The set algorithm can be continuously applied, maintaining consistency in trading strategies.
High-Frequency Trading: Helps not to miss crucial opportunities in a rapidly changing market.

1.2 Disadvantages of Automated Trading

System Failures: Trading issues may arise due to program errors or connection problems.
Difficulties in Reflecting Market Changes: The algorithm may not respond appropriately to sudden market changes.
Dependence on Historical Data: There is no guarantee that strategies based on past data will remain valid in the future.

2. Setting Up the Development Environment

Building an environment to develop an automated trading system is very important. Install the necessary tools according to the following steps.

2.1 Installing Python

First, install Python. You can download it from the official Python website.

2.2 Installing Required Libraries

Let’s install the libraries needed to develop the automated trading system. The main libraries are as follows:

pip install numpy pandas matplotlib requests PyQt5

3. Installing PyQt and Qt Designer

PyQt provides a way to use the Qt library with Python. Qt is a tool for developing powerful GUI applications.

3.1 Installing Qt Designer

Qt Designer is a graphical tool that allows you to design GUIs. It can be downloaded for free from the official Qt website. After installation, you can use Qt Designer to create UI files in XML format.

3.2 Installing PyQt5

PyQt5 can be installed as follows:

pip install PyQt5

4. Setting Up Project Structure

Now let’s set up the project structure. The recommended project structure is as follows:


    auto_trader/
    ├── main.py               # Main execution file
    ├── trader.py             # Automated trading logic
    ├── ui/                   # UI-related files
    │   └── main_window.ui     # UI file generated by Qt Designer
    └── requirements.txt      # List of required libraries

5. UI Design

Use Qt Designer to design a basic UI. Below are example UI components:

Stock selection dropdown
Buy button
Sell button
Current price display label
Trade history display table

Design the UI in Qt Designer in the following form and save it as main_window.ui.

6. Implementing Automated Trading Logic

To implement the automated trading logic, write the trader.py file. Below is an example code for basic trading logic.


    import requests

    class Trader:
        def __init__(self):
            self.api_url = "https://api.example.com/trade"
            self.symbol = "AAPL"  # Stock to trade
            self.balance = 10000  # Initial balance

        def buy(self, amount):
            # Buy logic
            response = requests.post(self.api_url, data={'symbol': self.symbol, 'action': 'buy', 'amount': amount})
            return response.json()

        def sell(self, amount):
            # Sell logic
            response = requests.post(self.api_url, data={'symbol': self.symbol, 'action': 'sell', 'amount': amount})
            return response.json()

7. Writing the Main Execution File

Now let’s write the main execution file, main.py. This file will call the GUI and handle user interactions.


    import sys
    from PyQt5.QtWidgets import QApplication, QMainWindow
    from ui.main_window import Ui_MainWindow
    from trader import Trader

    class MainApp(QMainWindow, Ui_MainWindow):
        def __init__(self):
            super().__init__()
            self.setupUi(self)
            self.trader = Trader()

            self.buy_button.clicked.connect(self.buy_stock)
            self.sell_button.clicked.connect(self.sell_stock)

        def buy_stock(self):
            amount = int(self.amount_input.text())
            response = self.trader.buy(amount)
            self.update_ui(response)

        def sell_stock(self):
            amount = int(self.amount_input.text())
            response = self.trader.sell(amount)
            self.update_ui(response)

        def update_ui(self, response):
            # UI update logic
            print(response)

    if __name__ == '__main__':
        app = QApplication(sys.argv)
        window = MainApp()
        window.show()
        sys.exit(app.exec_())

8. Execution and Testing

Once all the code is ready, type python main.py in the terminal to run the program. When the GUI opens, you can select stocks and click the buy or sell button to execute orders.

9. Conclusion

In this course, we explained the process of developing an automated trading system using Python and how to create a GUI using PyQt. In the real market, various variables and conditions exist, so applying more complex algorithms and data analysis techniques can help create a more sophisticated system.

9.1 Additional Learning Resources

We hope your automated trading system operates successfully!