Artificial intelligence and trading
In recent years, professionals have noticed an increasing complexity of the trading process. The robots that were previously used for trading allow you to process and analyze various data. AI algorithms, unlike bots, can independently collect information and process it, imitating analytical thinking.
Machine learning and the increase in computing power lead to a decrease in profitability, and sometimes you can observe a negative trend. Modern chatbots operate according to a different algorithm therefore their influence on the market and passive income is constantly growing. For this reason, AI-based trading technologies can break the chain of negative change.
Artificial intelligence independently collects data from various sources, such as:
● financial news;
● social networks.
The information obtained allows the algorithm to take into account trends in global markets, improve the accuracy of its forecasts and generate income. Retesting is necessary to improve the performance of predictions. The absence of an emotional component (fear or other feelings) favorably influences the analysis of the market situation.
AI capabilities today
The number of projects using artificial intelligence technologies is constantly growing. Working with AI has a beneficial effect on the financial position of trading companies and their clients, providing income growth. The algorithms are used for the following purposes:
● building a thinking system based on analysis;
● search for effective ways of processing large files and their subsequent use for analysis;
● creating robot advisors that help make important investment decisions;
● improving strategies for hedge funds to make decisions about where to invest;
● transfer of management of investment funds and participation in auctions without involving a person;
● researching data from various sources for predictions and market forecasts;
● creating a rating of well-known financial analysts and processing their assumptions to improve strategies;
● developing suitable models for periods of high volatility and economic crises;
● detection of collusion and manipulation in the trading market.
The introduction of AI primarily affects profitability, which becomes higher than the average. The algorithms used are much more efficient than other strategies used by traders.
Most of the experienced exchange players are convinced that intelligent trading tools and robot consultants will become an integral part of trading in the future. The algorithms do not cause any difficulties during use, and their actions are transparent and safe. AI-based technologies make it possible to intelligently manage and invest assets.
Investment research automation
Automation through technology can improve the quality of work and increase profits and passive earnings. Financial advisors spend a lot of time studying reports, trends, news and press releases. Investment research is necessary for traders to understand the situation and forecast taking into account current trends.
Automation tools are used to reduce information processing time. In particular, to scan funding sources. Machines and hybrid intelligence can process much more data than a human analyst. The involvement of specialists and the long time required to compile a report reduce profitability, which cannot be said about the introduction of AI into work.
In addition, artificial intelligence can not only process, but also assimilate the necessary information. Compared to a living human specialist, AI will not miss any of the data it receives. A financial analyst can only be wrong because the task at hand is too big.
Personalized information for bidding
The actions of private and institutional investors should lead to the same economic effect (ROI), but this is rare. The reason is the lack of personalized trading platforms for individuals. A stable income without personalization is impossible.
At Intelfin Global, the use of AI-powered software enables the creation of personalized offerings that include the following:
● tracking actions on previous operations;
● identification of purchase (sale) transactions;
● studying the consequences of earlier decisions.
The AI algorithm develops Profile-of-One, which takes into account trading preferences, internal bank data and information from social networks. At certain points, the system may offer the purchase of any shares with a justification of the rationality of this decision.
Bots as a unique form of AI
The interaction between humans and bots consists in using the latter to solve various problems, for example, when choosing where to invest money. Through collaboration, traders, analysts, and users teach AI the necessary skills. By developing software and empowering analytics, you can achieve the desired result. The created algorithms are based on the main current trends. It is predicted that bots will be able to come up with their own methods of communication to effectively exchange useful information.
It is extremely difficult to pinpoint potential directions. Like all technologies that simplify our lives today, AI development starts small. As an example, you can use assistants from Google, Apple, Microsoft, Amazon. Assistant, Siri, Cortana, and Alexa are consumer-focused. Thanks to their usefulness, they have become a real helper for many.
Weather information, books, news, and shopping are available today, although not much time has passed since the creation of assistants. It is impossible to appreciate the full benefits of using AI-powered assistants without practical application. The same can be said about special chatbots for trading. The algorithm is able to perform all tasks and generate Internet income only through the constant exchange of information. Chatbots would not be able to function without modern technology, which would make full interaction impossible.