CEP engine

The CEP is the heart of the algorithmic trading platform – which listens to the market data and determines what actions to take based on the trading logic. Complex Event Processing combines data from multiple sources to infer events or patterns and take appropriate actions to capitalize on opportunities and make decisions for order generation.

The functions of a CEP engine are as follows:

• CEP takes market data or any change in strategy parameters thus setting it as an input.

• After that, it decodes the data and stores it in the event-data history.

• CEP finds the pattern in the data.

• Based on decision processing rule, the output is generated (like trading signal, quantity to trade, etc) and then it is conveyed to the order management system.