With the rise of the AI come the end to trading as we know it and retail traders
Ai is becoming so strong/powerful/cheap with time that it will eventually replace 99% of traders, the amount of info you can absorb in a month AI will be able to absorb in 1/10 of a seconds, it will structure it, use complex algorithms to analyze it and make decisions
And I am not talking about AI outsmarting everybody - that's not the problem.
Here is the case - trading game can only be profitable if there are A LOT of losers. With the rise of Ai and it's availability all the losers will get access to all those computing powers and will make WAY LESS mistakes, and THAT is what kills the whole trading game.
In theory in you give a program which will give decent trading advices to losers today (and with exponential growth of computing power and AI such things will be available in 10-20 years easily) than the game is dead, 99% of stupid noobies mistakes are eliminated and that is exactly what profitable traderss feed on, money have to come from somebody.
That already happened to online poker actually. In 2006-2009 (which is considered "golden era" in online poker) without actually no decent learning info for poker and any software to help noobies, pros were making RIDICULOUS amounts of money exploiting this. But right now there are a lot of software and charts the edge that pros have over amateurs is SO SMALL that it's not even worth playing poker for living.
For example in 2006 you could spent 1 week to learn some basics of poker and get some charts and you will be able to make 20k a month just by grinding basic SNG tournaments. What can the same player grinding same tournaments expect now? 500$ a month.
Even more, right now is going a huge challenge AI vs pro players. 4 of the BEST in the world heads up players vs AI. How is it going? AI IS CRUSHING THEM. AI is crushing THE BEST players in the world in heads up poker LIKE KIDS. Literally, his edge is SO BIG that it is really scary. (you can google about that challenge it is going right now)
So we are ALREADY at the point where the best of the best can't beat Ai in poker, they can't even breakeven against him and they are NOT EVEN CLOSE to that, they are crashed. They gather everyday, analyze the way AI plays, try to find weaknesses and improve their game but that doesn't help, they continue to lose.
Trading is next. That will happen eventually to the trading world too, we can argue how long it will take but it WILL happen, there will be time in next decade or two when there is just no room for retail traders anymore, the edge will get smaller and smaller and then it will be just not worth it, just like in the poker example.
If you are considering to START trading now I really advice you to think about the future of that "profession" because that future is not very bright imo.
Ai is becoming so strong/powerful/cheap with time that it will eventually replace 99% of traders, the amount of info you can absorb in a month AI will be able to absorb in 1/10 of a seconds, it will structure it, use complex algorithms to analyze it and make decisions
And I am not talking about AI outsmarting everybody - that's not the problem.
Here is the case - trading game can only be profitable if there are A LOT of losers. With the rise of Ai and it's availability all the losers will get access to all those computing powers and will make WAY LESS mistakes, and THAT is what kills the whole trading game.
In theory in you give a program which will give decent trading advices to losers today (and with exponential growth of computing power and AI such things will be available in 10-20 years easily) than the game is dead, 99% of stupid noobies mistakes are eliminated and that is exactly what profitable traderss feed on, money have to come from somebody.
That already happened to online poker actually. In 2006-2009 (which is considered "golden era" in online poker) without actually no decent learning info for poker and any software to help noobies, pros were making RIDICULOUS amounts of money exploiting this. But right now there are a lot of software and charts the edge that pros have over amateurs is SO SMALL that it's not even worth playing poker for living.
For example in 2006 you could spent 1 week to learn some basics of poker and get some charts and you will be able to make 20k a month just by grinding basic SNG tournaments. What can the same player grinding same tournaments expect now? 500$ a month.
Even more, right now is going a huge challenge AI vs pro players. 4 of the BEST in the world heads up players vs AI. How is it going? AI IS CRUSHING THEM. AI is crushing THE BEST players in the world in heads up poker LIKE KIDS. Literally, his edge is SO BIG that it is really scary. (you can google about that challenge it is going right now)
So we are ALREADY at the point where the best of the best can't beat Ai in poker, they can't even breakeven against him and they are NOT EVEN CLOSE to that, they are crashed. They gather everyday, analyze the way AI plays, try to find weaknesses and improve their game but that doesn't help, they continue to lose.
Trading is next. That will happen eventually to the trading world too, we can argue how long it will take but it WILL happen, there will be time in next decade or two when there is just no room for retail traders anymore, the edge will get smaller and smaller and then it will be just not worth it, just like in the poker example.
If you are considering to START trading now I really advice you to think about the future of that "profession" because that future is not very bright imo.
