AlgoWay Exposes Misleading Latency Claims in Trade Automation

AlgoWay, a trade signal automation and order-routing platform, has released a new industry analysis that tackles a common misconception in automated trading: how execution speed is measured. The company, founded by Samvel Mayilyan, highlights that many automation services advertise latency figures that only cover a single internal stage, such as the time from server receipt to API submission, rather than the complete process from signal to confirmed position. This can mislead traders into thinking that their trades are executed faster than they actually are.

The analysis breaks down the execution chain into several stages: the alert must reach the receiving server, the automation service interprets the payload, resolves the instrument, checks account state, normalizes volume, submits the order, and finally the broker or exchange accepts and confirms the result. AlgoWay observed that, for certain TradingView routes, there can be a delay of about one second between the alert timestamp and when the server registers the webhook, before any processing begins. Additionally, the report distinguishes between submitting an order request and confirming a completed result, noting that API requests can be rejected, delayed, or partially filled due to account conflicts or platform rules.

AlgoWay emphasizes that it does not apply a universal latency figure; instead, it tailors measurements to each integration, with confirmed processes ranging from half a second to several seconds depending on the destination. The company advises traders to ask four key questions when evaluating automation platforms: where does the measurement begin, where does it end, does it include external alert delivery, and does it conclude with a submitted request or a confirmed result? These distinctions enable more accurate comparisons. For more details, read the full AlgoWay analysis: How Trade Automation Tools Mislead You: The Truth About Milliseconds. Learn more about AlgoWay.