Hi,
Has any one tried to use AI bot to trade Forex ?
I am looking for some suggestion in leveraging the power of AI to trade Forex currency pairs on my behalf, I am happy to manage and maintain the links and trade settings between the AI bot and my broker account.
Any suggestions?
Thank you.
Pretty much the same reason why banks don't just go and buy houses instead of giving out mortgages, more efficient to run a pure software company than a trading company with a software division.
Pretty much the same reason why banks don't just go and buy houses instead of giving out mortgages
Good try but if you seriously think about it. Why would banks trade houses, you need at least 30 days to settlement, it is never standardised size blocks, houses and quality, if you hold it for a period of time you have to pay rates, water, maintenance and high transaction cost on entry (stamp duty) and exit (real estate agent fees). vs giving loans to people who will pick up all those costs and give you a 1% margin. I'd rather do nothing and make 1% thanks. Then there is negative gearing, if banks bought property then they can pay zero tax. They must be stupid not to (that is a joke).
Can you imagine if you were trading forex and once you hit buy it takes 30 days to settle, you need to pay stamp duty of a few percent, then holding costs (management fees, risk of not getting rent, government levies). Nobody would be trading it either.
I'm not actually sure where you disagreed with what I said, better to let other people pick up all the costs and risks and headaches while you get a guaranteed return regardless of how the market works.
@Jolakot: If I had a piece of software that was generating 20%+ pa returns I'd keep it in house, no way you be selling it for prices that retail investors can afford.
I worked in prop trading
Is that like:
I'll trade you the Millennium Falcon model from Star Wars episode 4, for the Batman costume from The Dark Night ?
Prop = proprietary
Not movie / theatre props.
I'm out of the office at the moment and so can't answer your enquiry. I will leave it to my automated assistant.
Computer says no.
Are you writing the algorithm?
I once tried to write an algorithm to trade crypto. I got as far as getting it to identify opportunities and found there just wasn't any money to be made so gave up on it.
By AI are you referring to training a model? Or just some over glorified macro.
You are assuming that the past price action will continue in the future.
If so, download as much historical data as you can.
Using some of the data, develop and test some algorithms, using software such as Metastock.
Select the most promising ones and backtest against out of sample data.
Slowly implement in the real world with appropriate position sizing.
I know someone in the industry, I asked them this question a few weeks ago he hasn't stopped laughing apparently they make a lot of money from people who use them
Any suggestions?
Don't.
I tried few AI robots both cracked and licensed version on demo accounts and I found none making profits consistently as of now. One of my EA was going good for quite sometime.. but past 2 week was horrific. Are you after any specific EA and seeking feedback?
It's all in the education. If you rely on a bot as a source of income, what will you do if it malfunctions or its removed from the market. All my education comes from people who are on at least 6 figures monthly and take note, it requires at least 3-5 years of dedicated study. Bots are a cheap answer to short term gains.
Thank you all.
I've always been of the opinion that if someone designed an AI or algorithm that could predict horse racing, option/ forex/ crypto trading why would you ever sell or make it public. I worked in prop trading where we had a very efficient and proven way of making money and it was guarded like the crown jewels.