In it, it relies on indicators that show the strength of price and volume. 6. Algorithmic Trading / Algo Trading Time Horizon: It can be any of the above, and is often very short (high-frequency trading). Goal: To execute trades automatically based on pre-programmed rules and algorithms. Characteristics: It relies on computer programs to identify opportunities and execute trades at high speeds. It requires quantitative analysis, backtesting, and programming skills. High-Frequency Trading (HFT) is a subset of algorithmic trading that focuses on extremely fast execution to take advantage of small market inefficiencies.