Generally, the basic tools for stock trading include a computer or laptop, internet, and probably a telephone to make calls to brokers whenever necessary. That said, a trading computer is recommended instead of using just another PC.
This kind of PC is designed for trading, making a trader’s work easier. They are available at different prices, and you can always find one within your budget. However, if you would rather build a trading computer yourself, you could do it and save costs.
This post will explain how to build a solid trading computer with six tips.
A hard drive in a computer is the storage, where all your data is stored. You can find a hard drive at a very affordable price nowadays. However, we recommend using a solid-state drive (SSD) for a stock trading computer because it is more efficient and faster than a hard disk drive (HDD).
Put it in perspective, it takes around ten seconds to boot an SSD, whereas it takes around 30 seconds to boot an HDD. Since you don’t need to store many things in your trading computer, 500 GB worth of space should be more than enough.
Random Access Memory (RAM) is a vital computer component that allows you to run several processes simultaneously and run them efficiently. In simple words, RAM can be described as the short-term memory of a computer, while the hard drive could be described as long-term memory.
As a trader, you will need to run multiple processes simultaneously, so your computer must have enough RAM. You could start with 4GB RAM, but we recommend upgrading your computer to at least 8GB as you aim to get to 16 GB RAM.
The Central Processing Unit (CPU) is the computer’s brain, and it controls the processes being run on the computer. The effectiveness of CPU/ processors is measured by their speed gigahertz (GHz), and the higher the speed, the better the processor.
It is also vital to consider the number of cores the CPU has as it determines the number of processes you can run at the same time. For the best results, we recommend going for at least 2.8 GHz Core i5 or Core i7.
If you plan to use several displays while trading, it is important that you have a high-quality graphics card. Since reading the stock’s performance is a basic need for a stock trader, having a powerful graphics card is important.
Stock’s performance is read in charting features and trading software, and these features require a compatible graphics card to make your work easier. We recommend choosing a graphics card with 2GB or more memory. Preferably, go for 4 GB if you are using multiple monitors.
Generally, most PCs come with a cooling system to reduce heat on the computer to avoid overheating. However, running trading software for a long time could lead to overworking your PC’s cooling system, and your PC could end up overheating after all. For that reason, it is vital to install a high-quality cooling system for your PC to replace the one that comes with it.
A computer monitor, also known as a display, is the output device that displays information being processed by the computer. Monitors are quite affordable, and you can find one within your budget in any online store.
Before purchasing the monitor, make sure that it is compatible with the PC, so you will not need to buy an extra adapter to connect them. As a beginner, one monitor could be enough but having more than one is not a bad idea. However, if you can fit all your charts in one monitor, there is no need for a second monitor.
Buying a trading computer is quite affordable, and you could find one here. However, if you rather upgrade your home PC and start trading with it, consider improving the graphics card, RAM, change ROM into SSD, install a new cooling system, and consider using multiple monitors.