Building a Neural Network to Manage a Stock Portfolio
Introduction to Financial Deep Learning
Introduction
I wanted to write a follow-up article to Build an AI Stock Trading Bot for Free, which describes the development and deployment of an AI model to make trading decisions. This article is to be a precursor to my previous article and introduce deep learning, the mathematics behind it, and a financial application. In my previous article, I emphasize the importance of understanding your AI model beyond importing a library to determine how, and if your network can solve the problem at hand or if there is a more efficient/effective structure. I encourage you to read through this article analytically, the more math pertaining to neural networks you comprehend the better you will be at creating solutions implementing deep learning.
Deep Learning
Deep learning is a subset of machine learning which uses artificial neural networks to learn non-linear relationships from data. Artificial neural networks were inspired by the way our actual brain functions, as we receive data through our senses we process the information and create a response. This idea is maintained in artificial neural networks, data is passed into the neural network and through a series of matrix computations, it yields a…
