Contrary to what many people think; robotic trade programs without human intervention are not without their own faults. Based upon a set of probabilities upon a series of historic data the robotic program attempts to reach an answer just as fast as the human trader. However, there is a difference. The robotic program is an artificial intelligence and copy of the human mind in function at it's very best. When there is a sudden object in the middle of the road ahead the robotic program may learn to swerve the car upon a quick risk analysis, but the human trader is more likely to take a decision to swerve direction even faster due to the synergistic combination of right and left brain responses. Do computer programs recognize patterns just as well as humans? They may recognize a pattern but when it comes down to interpretation and trading decision an artificial intelligence may lack the intuitive capabilities of a seasoned trader.
In the last two years automated trading has become the rave of discussion on the Internet.
Please read on the FT today the discussion about artificial intelligence and automated trading.
https://www.ft.com/content/84bb5c72-37a9-11e6-9a05-82a9b15a8ee7
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