Li Xixi Emma
Aofex
Published in
3 min readApr 11, 2019

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AOFEX Establishes Earning Forecast Model Through AI for Users to Invest NSO

Counting down the days from the official launch of AOFEX, we are getting to know more disclosed information. By utilizing artificial intelligence and mathematical model logic, AOFEX is establishing an earning forecast model in the field of digital asset exchange and trading platform.

Recently, officials of AOFEX confirmed above, and chose to publicize the researches, principles and development of the earning forecast model.

To start with, AOFEX built an in-depth learning model for AI, and assign AI to establish a model of historical trend lines of certain cryptocurrencies, so that AI fully understand the pattern and meanings of the trend lines.

Secondly, AI constantly classifies historical trend lines, and tries to classify as many patterns of trend lines as possible. Meanwhile, AI learns from Elliot Wave Theory (constantly changing trend lines that present natural harmony). After analyzing every kind of classified trend line, AOFEX summarizes the possibility of rising or falling in different stages of trend line. Ultimately match trend lines in current stage, and get the possibility in change such as rising or falling, as the basis of forecast the trend.

One of the main tasks of AI during in-depth learning is Commodity Trading Advisor. For instance, AI builds a model for the change of a cryptocurrency, and finds out the inflection point for upcoming trend. By stimulating operations like buy-in or sell-out, calculate the possibility of either way, and summarize the best outcome with different investment strategy.

In order to find better investment strategy, AOFEX referred the idea of AI AlphaGo, which is to play with himself. After gaming for numerous times, find out the best solution with different trends. AOFEX allows AI constantly gaming with himself so that profit could be maximized by looking for better investment strategy.

When AI finishes processing a plenty of data and theories, in-depth learning switches to reinforcement learning. According to current trend lines, predict the trend of near future and establish different investment strategies. Then optimize the investment strategy through the actual trend lines.

Eventually, AI adjusts real-time investment strategy through ensemble-learning, so that the strategy generates into the closest of reality.

In short, AI studies trend lines, Elliot Wave Theory, Commodity Trading Advisor and Game theory via in-depth learning, result in correct processing of data; Optimize the investment strategy through reinforcement study; Adjust the real-time investment strategy via ensemble learning, therefore the strategy is likely to be very close to reality.

From AOFEX’s point of view, the earning forecast model of AI will be mainly applied on the section of “Non-Standard Option”. NSO is the first digital asset derivative initiated by AOFEX, which could help investors hedge potential risks during strong fluctuation of digital currency. Investors could control and manage risks; also know the profit in advance with unique technology of earning forecast model.

NSO could further provide investors in high-risk market for management strategy through AI earning forecast model.

Last but not the least, AI model of AOFEX is still growing, therefore will be more effective in the future.

AOFEX believes the series of research and development will help investors generate profit, which is one of the indicators to be a role model in exchange industry.

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