Bloomberg Tradebook has released a new tactical trading algorithm that enables traders to ladder or scale into or exit from futures or foreign exchange trading strategies. The Reserve-Scaleback Algorithm helps traders algorithmically buy on weakness or sell into strength thus seeking a superior overall weighted price average on their execution strategies.
A Laddering strategy enables market participants to buy on set pullback increments. Scaling is a more flexible by adding a peg to the algorithm. The peg allows a trader to set flexible relative prices as well as maximum prices.
This new algorithm marks a continuation of Tradebook's objective of providing market participants with algorithmic services that assist in improving trading outcomes. Over the last several months, Tradebook has launched algorithms focused on new capabilities for trading in equities, options and futures.