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Joined 2 years ago
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Cake day: June 22nd, 2023

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  • It’s true that NNs are strong at spotting patterns in masses of data, but trading is a particularly hard problem for this kind of task because the market constantly adapts to its participants. If other traders have found a pattern, it will already be priced in when you try to make money off it, and your strategy will fail. And since trading is a worldwide competition with billions of dollars to be won, you are naturally competing against teams of the best of the best who are willing to put massive resources into their algorithm development, computing, and data acquisition. Therefore the chances for someone like us to find an algorithm that systematically beats them is very low.

    So for any young math/CS nerd who comes across this thread and wants to try their luck, be aware of the difficulty before you invest any real money, and learn about the merits of passive investing.