Last Updated on February 22, 2024 by Elidge Staff
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The Power of AI Based Trading Platforms:
In this article, we delve into the challenges of trading, the psychology behind it, and explore a revolutionary solution – AI based trading platforms. In the world of trading, the harsh reality is that a significant number of retail traders face financial setbacks rather than success. The notion of easily becoming a millionaire trader, as often touted on social media, is far from reality. In fact, statistics suggest that up to 90% of retail traders end up losing money. Amidst this backdrop, a small cohort of traders not only succeeds but achieves remarkable success. This raises the question: What do these successful traders know that the majority doesn’t?
The Reality of Trading Challenges
The trading landscape is rife with contradictions. On one hand, the internet and social media portray trading as easy and accessible to everyone. On the other hand, the high failure rate among retail traders suggests otherwise. The gap between the perceived ease of trading and the actual difficulty creates a dissonance that needs to be addressed. Acknowledging these challenges is the first step towards a more honest conversation about the realities of trading.
The Psychology of Trading
A major stumbling block for many traders is the psychological aspect of decision-making. We candidly admit to falling prey to impulsive behaviors, such as playing too big, holding on too long, and revenge trading. These behaviors, driven by emotions, often lead to significant downswings. The question then arises: How can traders overcome these psychological barriers and become more disciplined?
Systematic Trading as a Solution
We found a solution in systematic trading, an approach that removes the emotional element from trading decisions. Systematic trading involves creating and following predefined rules and criteria for entering and exiting trades. This robotic, emotionless approach minimizes the impact of impulsive decisions and ensures a disciplined execution of the trading plan.
Understanding Systematic Trading
Systematic trading is about implementing clear entry and exit criteria based on predefined rules. An example provided is the “Santa Claus rally,” a well-known market phenomenon where the market tends to trend upward at the end of the year. A systematic trading strategy based on this could involve buying on the first trading day of October and selling halfway through January. However, the challenge for many traders lies in the technical aspects of implementing such strategies.
The Rise of AI Based Trading Platforms
AI based trading platforms, such as StreetBeat, offer a revolutionary solution to the technical challenges of systematic trading. These platforms leverage artificial intelligence to automate trading strategies, making it accessible to traders without coding experience. StreetBeat, in particular, allows users to create their own AI trading co-pilots or choose from pre-built strategies, eliminating the need for extensive coding knowledge.
StreetBeat: A Game-Changer in AI Based Trading Platforms
StreetBeat stands out as a leading robo-advisor, empowering traders to utilize AI in their trading strategies. The platform provides pre-built AI strategies, including unique options like the “US Congress buys” portfolio, which tracks stocks purchased by members of the US Congress. The brilliance of StreetBeat lies in its user-friendly interface that democratizes algorithmic trading, making it accessible to a broader audience.
Special Offer and Incentives
To sweeten the deal, StreetBeat is currently offering a deposit bonus that scales with the user’s investment, along with the potential to earn up to an additional $8,000 through the refer-a-friend program. This incentive makes AI based trading platforms even more appealing, especially for those looking to enhance their trading strategies.
Final word on AI based trading platforms
In a landscape where the majority of retail traders face financial setbacks, embracing a new approach is essential. The shift towards systematic trading, coupled with the power of AI based platforms like StreetBeat, marks a paradigm shift for retail traders. By acknowledging the challenges, understanding the psychology behind trading, and adopting innovative solutions, traders can increase their chances of success. The era of emotional, impulsive trading may be giving way to a more disciplined and systematic approach, ultimately leveling the playing field for all traders.
FAQs about AI Based Trading Platforms
Why do most retail traders face financial setbacks in the trading world?
The majority of retail traders experience financial setbacks due to the challenging nature of trading. Despite the portrayal of easy success on social media, statistics suggest that up to 90% of retail traders end up losing money.
What sets apart the small cohort of successful traders from the majority?
Successful traders have discovered and implemented strategies that the majority of retail traders are yet to comprehend. This article explores the challenges they face and introduces a potential solution.
What contradictions exist in the trading landscape?
The internet and social media often depict trading as easy and accessible, creating a contradiction with the high failure rate among retail traders. Acknowledging these disparities is crucial for an honest conversation about the realities of trading.
How does the psychological aspect impact trading decisions?
Many traders fall prey to impulsive behaviors driven by emotions, such as playing too big, holding on too long, and revenge trading. Overcoming these psychological barriers and achieving discipline is a key challenge in trading.
What is systematic trading, and how does it address emotional challenges?
Systematic trading involves creating and following predefined rules for trading decisions, removing the emotional element. This approach ensures a disciplined execution of the trading plan, minimizing the impact of impulsive decisions.
How do AI based trading platforms contribute to leveling the playing field for retail traders?
By addressing the challenges, understanding psychological aspects, and providing innovative solutions, AI based trading platforms like StreetBeat contribute to a paradigm shift in trading. This shift towards systematic and disciplined trading levels the playing field for all traders.
What incentives does StreetBeat offer to users?
StreetBeat currently offers a deposit bonus scaling with the user’s investment, along with the potential to earn up to an additional $8,000 through the refer-a-friend program, making AI based trading platforms more appealing.
What is StreetBeat, and how does it stand out in the AI based trading platform space?
StreetBeat is a leading robo-advisor that empowers traders to utilize AI in their strategies. It stands out with a user-friendly interface, offering pre-built AI strategies, including unique options like the “US Congress buys” portfolio.
How do AI based trading platforms revolutionize systematic trading?
Platforms like StreetBeat leverage artificial intelligence to automate trading strategies, making them accessible even to traders without coding experience. This revolutionizes systematic trading by providing advanced tools for algorithmic decision-making.
Can you provide an example of systematic trading strategy?
An example is the “Santa Claus rally” strategy, where a trader may buy on the first trading day of October and sell halfway through January. The challenge lies in the technical aspects of implementing such strategies.
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