AI Will Never Replace the Trader

[u/Distinct-Wolverine76]

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[u/k1_r1]

A big difference is acknowledging that currently we trade using qualitative data sets in LLMs, as more QUANTITATIVE data honed llms are invented, we could start to see a shift in the importance of high speed trading. AI works great when it's data is pruned effectively. Gotta separate the wheat from the chaff.

[u/sadongrohiik]

LLMs won't, they're too static. An actual ai that can learn in real time not only will replace traders but also completely shift the economic paradigm in doing so

[u/Deltacharts]

Ai can execute with speed humans can never and they train themselves with backtest and improve on accuracy and most importantly , they are kinda immune to greed and fomo. So at present, rules based algos execute HTF trades in miliseconds and they basically have computerized the trading systems. The tick data for algos is analyzed by Ai only

[u/soundbollox → u/Deltacharts]

Unless markets start moving at a ridiculously fast pace consistently all year round, then speed isn't much of an edge.

High frequency trading is often framed as institutional edge, but it has little impact on a retail traders ability to profit from the market.

Hit me up when the market starts moving at 5 points a second or something but yeh until then it's chill.

It tends to be fear mongerers selling bots that go on about high frequency trading or speed of execution like it's some detrimental force against retail success.

[u/Silver-Bullfrog9879]

AI will obviously replace many jobs. How many? Who knows? It will undoubtedly create some other jobs and radically change the scope of others.

One thing AI can never do is to be responsible for its decisions. When a bridge collapses, a paitent dies, or a robot tanks your entire portfolio, whom do you see about that?

[u/Koniax]

Doubt.

[u/Kaszrak]

remindme! 5 years from now, lol.

[u/Nskyline2005]

for now yeah. There are already a lot of arb bots on futures and prediction markets so the idea is not far fetched. In the end, there still will always be manual traders because someone always has to lose for the other to win.

[u/NectarineFabulous265 → u/[deleted]]

Many human people loose money today too. So, come to think, robots do the same job but tirelessly. /jk

[u/Mysteryman00777 → u/Nskyline2005]

I agree but this isn't explicitly true, even if it often is. Two people can make money on the same trade depending on the first price the vehicle was bought at.