TrendSpider vs Composer: What are the differences?
The key differences between TrendSpider and Composer
What are the main differences between Composer and TrendSpider?
As much as 78% of all trades (according to the SEC) are executed by stock trading algorithms. Two of the most popular platforms for active traders include Composer and TrendSpider. While both platforms have their advantages and disadvantages, I've outlines some of the key differences to help you make an informed choice if you are looking to create and automate your own trading with stock trading bots.
Composer is an algorithmic trading platform to create stock trading bots; no coding needed. You can build trading algorithms (with the help of an AI assistant and no-code editor), backtest with professional grade data, and deploy in minutes. Composer is an end-to-end platform: You can build, backtest, and deploy without needing any other software. They also create a separate brokerage account to prevent your manual trading disrupting your automated trading.
TrendSpider's value proposition is slightly different. If you’re looking for a charting tool, analysis platform, or scanning software, TrendSpider is the tool for you. With ‘raindrop charts’ to analyse chart patterns, trendline analysis, and a trading opportunities hub, TrendSpider wins as a charting software. For example, you can automate fibonacci retractments, look into candlestick patterns, utilise pattern recognition. However, if you want to create a stock trading bot, TrendSpider has limited functionality (e.g. max of 6 trading bots on the Pro plan).
Pricing
Pricing is one of the most important factors to consider when setting up a stock trading bot. Composer offers a transparent pricing system with a $24 per month fee (paid annually) that does not scale with the amount of trading or AUM you have. This means you can invest in as many trading bots as you would like without worrying about your costs increasing. Composer also offers free backtesting, strategy following, and strategy creation for all users on both the free and paid plan.
On the other hand, TrendSpider has a tiered pricing system. The Pro plan let’s you set up 6 trading bots for a price of $24.81 per month (you will have to connect to your broker’s webhooks so this can be a little more complex). This pricing also comes with trade timing alerts, charting and technical analysis, and alternative data which is an advantage of TrendSpider.
User Interface & Platform Access
With a visual no-code strategy builder, Composer offers an easy way to understand the logic behind your strategy. This enables both beginners as well as advanced traders to build strategies with ease. The best way to experience Composer is via desktop as the screen size enables you to make the most of the backtesting functionality as well as the strategy creator.
TrendSpider also provides a bot builder which doesn’t require coding skills. However, it does not automate the process end-to-end as you will have to connect to a broker via webhooks. As a result, this process can be a bit tricky to set-up.
If you’re looking for a charting tool or analysis platform, TrendSpider is the better alternative. With ‘raindrop charts’ to analyse chart patterns, trendline analysis, and a trading opportunities hub, TrendSpider wins as a charting software. For example, you can automate fibonacci retractments, look into candlestick patterns, utilise pattern recognition, and delve deeper into various moving averages.
However, if you want to actually execute and automate your trading strategies end-to-end, then Composer can be a better bet. Composer has a wide range of technical indicators to use (no coding needed). Composer also has a watchlist where you can save strategies made by other members of the community to improve your own trading strategies and build on top of.
Brokerages & Deposit Security
TrendSpider lets you connect to your own brokerage account via webhooks to execute your traders which means you have to check with your brokerage on deposit protection.
On the other hand, Composer automatically creates an Alpaca brokerage account for you which ensures that manual trading does not interfere with your automated stock trading bots. Composer Securities LLC is a registered broker-dealer with the SEC and a member of FINRA with SIPC security protection of $500k. The primary custodian is tier-1 bank BMO Harris.
Asset Choice & Transaction Types
Composer is a long-term focussed investing platform offering access to the full range of stocks and ETFs. The structure of the platform allows you to rebalance your strategies at daily, weekly, quarterly, yearly or threshold-based intervals.
However, if you're looking to trade crypto/cryptocurrency, forex, futures, short-selling, or intra-day trading, TrendSpider may be a better choice as Composer doesn't offer this functionality.
Both platforms offer strategy tester through the use of backtesting.
AI functionality
Composer has recently introduced ChatGPT functionality to supercharge the investing process. Using ChatGPT you can ask questions about your strategies, find ways to diversify, and continue to improve your returns. Here's some examples of what you can ask: What are the risks of this strategy? What should I add to diversify this strategy? What type of strategy would be a good complement to this one? You can then ask for the code from ChatGPT to build the strategies directly in-app. You can check out more details here. TrendSpider does not currently offer this functionality.
Customer Support
Both platforms offer extensive customer support channels. Composer offers email, live chat, and zoom calls with the product team. Likewise TrendSpider has a full range of customer support channels for Pro users.
One advantage of Composer is that you don’t have to deal with customer service for both the platform and the broker. As Composer manages your brokerage account, they will also help deal with any brokerage related questions and changes you need to make (e.g. address changes).
Final Remarks
Based on Composer's pricing (build unlimited bots for a fixed price), easy to use no-code interface, and in-build deposit security, Composer seems like a logical choice for many people.
Moreover, building strategies in Composer is a fun activity, and spending time doing so is a great way to get accustomed to how the no-code editor works.
As you do so, we invite you to explore the site and sign up for a free Composer account to get a first-hand impression of what our platform can do for you.
We'd be happy to have you on our side, and provide you with the best automated stock trading platform there is!
Important Disclosures
Investing in securities involves risks, including the risk of loss, including principal. Composer Securities LLC is a broker-dealer registered with the SEC and member of FINRA / SIPC. The SEC has not approved this message.
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This content is provided for informational purposes only, as it was prepared without regard to any specific objectives, or financial circumstances, and should not be relied upon as legal, business, investment, or tax advice. You should consult your own advisers as to those matters. References to any securities or digital assets are for illustrative purposes only and do not constitute an investment recommendation or offer to provide investment advisory services. Furthermore, this content is not intended as a recommendation to purchase or sell any security and performance of certain hypothetical scenarios described herein is not necessarily indicative of actual results. Any investments referred to, or described are not representative of all investments in strategies managed by Composer, and there can be no assurance that the investments will be profitable or that other investments made in the future will have similar characteristics or results.
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