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Forex API enables interface with other softwares
An API (Application Programming Interface) is the interface created by a software program that enables interface with other softwares - in a way, this is similar to the manner in which a user interface allows the user to interact with the software. Various programs, operating systems and applications install and utilise APIs to help the programmer determine what calling conventions and vocabulary should be used to best employ these programs, applications, etc. If you are a dedicated forex trader, you, too, might wish to employ an API which will assist you in best reaching your goals in the forex market - even if you don't want to entirely depend on the API, certainly the aid it provides will prove helpful.
Now, various forex forums provide Forex API to their registered users, whether for free or at a slight cost. We list below some of these forums, and their conditions for providing API to users:
- FXDD.com (http://global.fxdd.com/en/index.html) provides free API to their users.
- Dukascopy.com (http://www.dukascopy.com/) provides API, but requires some money to be deposited.
- Oanda.com (http://www.oanda.com/) charges $600/month in exchange of API, though they do offer discounts.
There is no API for Metatraders 4, and the API for Metatraders 3 has been discontinued.
However, there are several other forums and platforms which provide Forex API to their users. Some of these are: FXCM, DBFX, HOTSPOT (which mostly is for institutions), INTERACTIVE, PRO-TRADER, M4 PLATFORM, CMS, OPENFOREX, and MBTRADING.
Among the sites which provide Forex API to their registered users, one of the better-known is, of course, Forex.com which provides fully automated trade execution via a proprietary API for those forex traders who wish to utilise the automated trading system, or even those who want, not to depend on it entirely, but to use it in order to fabricate a strategy.
In order to gain access to, and utilise, the API at Forex.com, you need to do the following things:
- First, you need to register for the API forum, doing which will allow you access to the forum wherein you can exchange ideas and comments with other API users of forex.com, post information, and view API documentation.
- Then you need to request an API Demo Account from the API forum, without which this entire effort would be fruitless.
- Completing the application process for an API account requires that you provide a projected initial deposit, though no actual deposit is required.
- Once you have an API account, you can begin programming against the API. You can check your code in a demo environment, using real-time data.
- Finally, once you're sure of yourself, you can fund your live trading account and get to work in the production environment, using the API provided by Forex.com
The Forex.com API grants users the capability of receiving real-time information of current currency rates, submitting trade requests, and setting and modifying orders. They can also receive automated confirmations of trade activity via the API. Forex.com also provides a testing environment for qualified user - this allows developers to test their strategies in “real-time" before investing actual funds in the production environment.
Forex.com's API is an XML interface programmable in any network-accessible programming-language, two distinct technologies are enmeshed in its creation:
- The rate date interface is the first aspect we will consider. Rate data is basically the prices presented to the client. In order to create the rate-data interface, a TCP/IP interface to the system of publishing current prices is utilized. To assist in programming in JAVA, etc. Forex.com provides its users with components that manage the connection. These native components also execute the link management, delegating as appropriate.
- The trading functions of the API are triggered when a client makes a request. It is implemented using the SOAP interface, which is XML-based. Web Services (SOAP uses HTTP as its carrier) are now the protocol most brokers utilise because they can be effortlessly used.
API systems provided by other sites work in manners that are similar to the API at Forex.com, and, like that, are geared towards aiding you to success in the forex market.