Trading bots have become an integral part of financial markets, providing an opportunity to automate trades and reduce risks associated with human emotions and errors. These programs can work on a variety of financial markets, including stocks, cryptocurrencies, futures and other assets. Thanks to the software, trades in financial markets are automatically executed, given pre-defined algorithms. Unlike a human, a bot is able to work around the clock, analyzing market data in real time and making decisions instantly. Algorithm is the “brain” of a trading bot. It analyzes incoming data and determines when and what actions should be taken. Algorithms can be simple or complex depending on the bot’s goals and strategy. The first stage of work is collecting market data. The bot connects to the exchange’s API and starts receiving real-time quotes and other important information. This data is then used to analyze the market and find trading opportunities. After receiving the data, the bot uses algorithms to study the market. This process may include using technical indicators such as RSI (Relative Strength Index) or MACD (Moving Average Convergence/Divergence) to identify buy or sell signals. When the bot decides to make a trade, it places an order on the exchange. Once the order is placed, the bot monitors its execution and results. For example, it can close a position if the asset has reached a set profit level (take profit) or if the price has started to move against the open trade (stop loss). Trend bots are focused on identifying market trends and using them to generate profits. They buy assets in an uptrend and sell them when the trend reverses. This type of bot is well suited for markets with clear trends, but may be less effective in sideways markets when the price fluctuates in a narrow range. Arbitrage bots exploit price differences of the same assets on different platforms. For example, they can buy bitcoin on one exchange and sell it on another at a higher price, capitalizing on the price difference. These bots require high speed of trade execution as price differences quickly disappear. Scalping bots make many small trades throughout the day, aiming to make a small profit from each price movement. They operate in a high volatility environment and react quickly to the smallest price changes. Scalping bots are often used in highly liquid markets and require high precision in their settings. Trading bots have become an important tool for modern traders, allowing them to automate the trading process, improve the speed of reaction to market changes and reduce the influence of the human factor. However, successful use of a trading bot requires not only competent setup and understanding of the market, but also constant monitoring of the program’s performance.