Nowadays we have big companies with good AI systems, today there is an algorithm called Alpha Go zero, this AI can win basically any game, you just have to tell it the rules, and then he get better at playing, and in hours, can outmatch any other player. My question is: if forex/ stock market are games, then why Alpha Go, and other AI systems can't return good profit and beating the market?
First its not a game, second all big institutional participants have already implemented computer aided trading for many years now and finally forex as all other markets its driven by news and unpredictable factors.
"The best way to predict the future is to create it"
Abraham Lincoln
And in order to do so it doesn't have to predict the future, it can just find the holes in probabilities, where it stands the best chances.
And also, if you love so much to talk in theory, then let's assume a future situation where all market participants will have a private alpha-zero to trade. Then, in that situation, alpha-zero will lose it's edge, and they will all lose money (in average) - at least the spreads+commision (in the best case they will lose only spread and commission - if all somehow manage to break even).
In current situation, given it's abilities, I assume it can have an edge over most humans and software currently in the market. But that's changeable. The traders ability may evolve, but the game will always remain a zero sum game - meaning, the losers pay for the winners.
Who said AlphZero can't learn to trade? I'm sure it can, and very good.
And in order to do so it doesn't have to predict the future, it can just find the holes in probabilities, where it stands the best chances.
And also, if you love so much to talk in theory, then let's assume a future situation where all market participants will have a private alpha-zero to trade. Then, in that situation, alpha-zero will lose it's edge, and they will all lose money (in average) - at least the spreads+commision (in the best case they will lose only spread and commission - if all somehow manage to break even).
In current situation, given it's abilities, I assume it can have an edge over most humans and software currently in the market. But that's changeable. The traders ability may evolve, but the game will always remain a zero sum game - meaning, the losers pay for the winners.
Who said AlphZero can't learn to trade? I'm sure it can, and very good.
And in order to do so it doesn't have to predict the future, it can just find the holes in probabilities, where it stands the best chances.
And also, if you love so much to talk in theory, then let's assume a future situation where all market participants will have a private alpha-zero to trade. Then, in that situation, alpha-zero will lose it's edge, and they will all lose money (in average) - at least the spreads+commision (in the best case they will lose only spread and commission - if all somehow manage to break even).
In current situation, given it's abilities, I assume it can have an edge over most humans and software currently in the market. But that's changeable. The traders ability may evolve, but the game will always remain a zero sum game - meaning, the losers pay for the winners.
If Alphago can beat the market they are keeping it very private, i've found no news about AI's with a good edge on forex-stock market
If Alphago can beat the market they are keeping it very private, i've found no news about AI's with a good edge on forex-stock market
Because they probably didn't even try it yet, it's not their first interest to trade forex.
You may be correct..because they are tech guys and they usually try to implement AI in real life situations like self driving cars, scientific research etc. Probably, they never tried or no one thought in that direction yet since as per their explanations the alpha zero algorithm succeeded beyond their expectations so quickly and it is a recent event of a couple of months or years.
I am very curious in implementing the alpha zero algo in forex and studying their white paper for long time, but when it comes to implementing it to MQL5 it is not a one man job. If many programmers will join, then we can create a dedicated thread and work together towards it.
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Nowadays we have big companies with good AI systems, today there is an algorithm called Alpha Go zero, this AI can win basically any game, you just have to tell it the rules, and then he get better at playing, and in hours, can outmatch any other player. My question is: if forex/ stock market are games, then why Alpha Go, and other AI systems can't return good profit and beating the market?