A fast computer with fast internet connection is a necessity for a trader. It is crucial to execute trade for the price that we wanted. However, a fast computer is costly, also not everybody is computer savvy and has knowledge on how to maintain their computer. No matter how fast a computer is, without proper maintenance it will get slow eventually. In the last few years, there is a trend using VPS (Virtual Private Server) to increase trading performance.
Virtual Private Server acts like computer, but in the cloud. Trader install their trading platform (such as MT4) and all trading activities are executed through VPS. Trader’s computer or laptop only act as ‘keyboard’ to control the VPS. The benefit of using VPS are :
- VPS works faster in transmitting the orders then ordinary computer or laptop. This may reduce slippage.
- Trader can trade from anywhere with different computer or laptop. Let say, the trader’s laptop is broken, one does not need to worry about his/her trading because all of the trades are in the VPS. Trader just need to find/borrow laptop with internet connection then login to the VPS to secure his/her trading positions. In the past, trader needs to re-install all software and equipments all over again in order to get access to the trades.
- Save money because trader does not have to buy ‘high end’ computer to get fast trades execution.
- In the power failure event, the VPS will keep the trading position (including Take Profit and Stop Loss), so all strategy and pending orders can be execute until the trader has access to VPS.
- A trader will not need to waste time to maintain their computer, since VPS usually already has their own IT team to make sure it runs 24/7 without problem.