It is extremely difficult to determine the size and size of the financial market in the world, but to provide at least a kind of context, it includes the global stock market The total market value is slightly over 30 trillion dollars.
This highlights the arduous nature of financial market trading, especially when you also think about the size of the similar vast markets such as Forex and commodities.
However, the good news is that it was not easy to reach these markets, while the appearance of artificial intelligence (AI) also helped new merchants benefit from improving decisions.
In this post, we will consider how to revolutionize financial trading, while assessing the potential risk of machine learning and associated technologies.
The rise of artificial intelligence and its benefits to merchants
There is no doubt that artificial intelligence has become particularly prominent in the field of Forex trading, thanks to this to a large extent to the nature of currency and daily folders invested in this market every day.
In fact, the rise of artificial intelligence and algorithm trade has led to the deposit of a scenario where the daily trading volumes of the Forex market Its climax was recently at $ 6.6 trillion. Certainly, this technology enables trading in actual time and actual time, without necessarily asking investors to waive the quality of decisions.
More specifically, artificial intelligence helped enhance the application of trading algorithms, with its improvement as well The fungal ability of market analysis in actual time And provide critical visions to the merchants.
At the core of this is the ability of artificial intelligence to simplify the process of market analysis, especially when you think that it also tends to push more ideas and enlightened decisions.
Of course, it also helps to alleviate the challenges offered by emotional trading, which can make investors be absent from their risk file and interact with unexpected losses in an unexpected way.
For traders who have a long -term look and perspective, it should also be noted that artificial intelligence allows something referred to as a predisposition. This provides a unique opportunity to review the direct price points in the actual time through a wide range of markets, while also enabling investors to identify red flags and reduce losses accordingly.
What are the risks associated with the agency artificial intelligence and machine learning?
In fairness, there are some challenges associated with trading inspired by artificial intelligence, despite the various benefits provided by this technology in terms of risk analysis and enabling tools such as automatic losses.
For example, while artificial intelligence can be used to reduce or eliminate human feelings, this may not always be good.
After all, concepts such as inevitability and instinct often play a major role in leading trading decisions, as experienced traders depend on these enlightened options in actual time.
At the same time, artificial intelligence does not develop enough yet to understand the various cultural differences in Expression and reading basic feelings. Moreover, he has not yet been able to repeat more complicated concepts such as human instinct or understand the changing applications of inevitability.
In this case, traders may miss the opportunity to amend trades based on the basic market laws or their previously obtained experience in specific markets.
Although this may not prove that it is catastrophic in most cases, it may directly affect profitability and marginalization of knowledge and the experiences of each individual merchant.
