World’s largest and the biggest names in the finance industry are loading up their guns for the A.I Revolution is it really the best frontier of the digital trading.
In the today’s age of robin-hood traders and r/wallstreetbets where everything is about the volume short-sells and uncertain world full of pandemics and oil crisis is Algorithmic Trading a realistic option know more as we dive deeper in the topic.
In today’s ever changing world of financial markets timing and spotting the right opportunity could mean the difference between a trade worth 10x profit or a mediocre trade. As proven now and again computers are much better than humans for spotting patterns and handling high and the low points . I mean lets get real who doesn’t get carried away or thrilled when your favorite stock becomes the next big mutibagger or who doesn’t feel sad when your have your stock choices constantly land negative.
Computers find the perfect balance with nerves or wires of steel literally. But when we talk of talk of such things where is news of the next A.I Warren Buffet or is there.Read on as we explore in greater detail what are the opportunities Algorithmic Trading has for you.
Algorithmic Trading or A.I in stock market would have sounded science fiction 3-4 years ago but it’s real and it isn’t as far fetched idea when thought about it or seen it in practice. There are various types of things which are taken in consideration the techniques for Algorithmic Trading comes down to various techniques which only revolve around the technical indicators and sentiment analysis and usually it is the swing and the intraday traders which can take advantage of such trading methodology.
Usually traders use it to find the stocks which are seeing a spike in volume or a favorable RSI or traders can also use the most traders use a simply coded bot for scalping or some of the Indian Brokers which give features like Robo order for trading a scrip.
But this kind of trading den’t come without its risks one mistake in line of code can make you loose all your capital.Not any of the brokers don’t allow any kind of use of bots over their trading platform so its difficult to find a broker for doing the same.
Recently companies and traders have lost millions of dollars when a line of code or a few situations forming which were new for Ai leading to misinterpret the market leading it to take wrong trades.
In conclusion we can say algorithmic trading can reap profits if the market conditions are ideal and if there is someone overseeing what trades is the Ai taking for now and neither is technology developed to an extent where it can take decisions on picking the good stocks with good track records and fundamentals . It has a lot of potential but it it still a kind of tech which is still a few years before its fully implemented.If it is its not in the public domain yet.