The stock trading world is changing pretty fast with bots being right at the heart of this revolution. Unlike humans, machines can make decisions faster. Besides that, because machines are emotionless, AI-trading is widely viewed as potentially more profitable especially when done in the long-term.
So, if you’re considering integrating AI into your trading methods, you’ve got every reason to start carrying out your research right now.
And today, we’d like to walk you through real-life examples of AI stock trading software systems. Hopefully, this write-up will leave you in a better position to determine which tools would be best for your trading strategy.
Top Artificial Intelligence Software For Trading in 2021
1. Trade Ideas
For those who have a taste for the finer things in life, Trade Ideas seems like the real deal. It’s a standalone market scanner with dozens of built-in scans that provide you with real-time trading opportunities.
The Trade Ideas family has been around since 2002, and to-date has served more than 50,000 traders. Their system crunches more than 6,0000 stocks and provides you with meaningful alerts which you can always filter out on the basis of usefulness.
What’s more? It’s only in Trade Ideas that you can find a system called Holly. Holly is an AI bot widely perceived as the most advanced one out there.
And to make sure you get nothing but good value for money, those who subscribe to the packages available are provided with backtesting tools along with 1-on-1 training.
- Technical and fundamental analysis by Holly
- Provides insights that can also be filtered out
- Provides real-time updates for accurate decision-making
- Highly user-friendly tools and design
2. Trend Spider
This is yet another bot that has, so far, proved quite popular among day traders and technical analysts. The Chicago-based company behind the system has been around since 2018. And all along, they’ve stood out with their abilities to scour market data and transform it into actionable and meaningful insights.
Their cloud-based AI combines the powers of chart-watching with backtesting and technical analysis. In other words, not only do they provide you with insights to make quality decisions but also a platform on which you can double-check the strength of your strategy based on historical data.
Another thing, this futuristic technology is available on a free-trial basis. So, you can conveniently test-drive it before fully committing your hard-earned money into it.
And of course, it’s worth noting that this system provides you with real-time access to forex, stocks, and crypto. All this is provided within one plan making it easier for you to try your luck with different markets.
- 1-on-1 training and support
- High-quality, bleeding-edge charts
- Charts come with drawing & annotation tools
EquBot is affiliated with IBM. One unique thing about it is that it combines data from exchange-traded funds (ETFs) and AI. By scouring this data and processing it for you, this bot provides you with detailed analytics and alerts so you can easily make decisions.
What’s more? EquBot carries out random analyses of news articles from all corners of the world. On top of that, it analyzes the events in the social media world and keeps you updated with financial statements being released by key organizations.
With a 360-degree understanding of the markets, this bot gives you the confidence you need to make dominate everything including other developed markets outside the US.
- Analyzes more than 15,000 trades per day
- Makes over 100 recommendations per day
- Powered by IBM’s Watson artificial intelligence
- Entry and Exit point suggestions provided
4. Imperative Execution Inc.
Founded in 2016, Imperative Execution brings together information on financial exchanges, particularly regarding U.S. Equities. One of their latest innovations, IntelligentCross, is known for its advanced risk mitigation strategies.
What’s more? It’s built in such a manner that it matches orders to help you get the most of each and every trade.
Besides IntelligentCross, there’s another system called ASPEN which is basically a bid/offer book. It’s designed to provide a deeper understanding of the bid/offer book.
And then there’s the IQX data feed which provides you with an in-depth view of all executions on Aspen.
The icing on the cake is that this tool also provides its users with access to the latest financial news and press highlight.
- Automated order management
- Near-continuous order matching
- Access to a wide variety of US-based shares
5. Infinite Alpha
With the world of cryptocurrencies growing and expanding rapidly, it would be virtually impossible to keep up with its trends and numbers if you’re a trader. And that’s precisely why Infinite Alpha was created. The system provides you with a beat by beat analysis of crypto-asset trading.
In a nutshell, this is a bot that enables you to take advantage of the promising cryptocurrency market while still maintaining the security and transparency of blockchain technology.
Another thing, this software works in compliance with different law enforcement organizations. It also complies with the ISO 50001, ISO 27001 and PCI DSS standards.
So, if you’re looking for a company that takes compliance seriously, this seems like a great platform to be a part of.
However, its scope is limited to cryptocurrencies. And with the market being at its infancy, you’d probably find Infinite Alpha quite limiting if looking for the wholesome experience of stock trading.
- Wide range of controls
- Awesome security features (encryption and authentication)
- ISO standards compliant
- Extensive coverage of the vast crypto-assets marketplace
TechTrader has been around since 2012. So, you can bet that it’s an advanced service that has, indeed, grown from strength to strength.
Right off the bat, TechTrader provides two really helpful services i.e. chat room services and a trading alert system. This trading alert system is designed to provide insights that would be helpful to swing traders.
The chat room is also quite helpful. However, you need a lot of time to keep up with the discussions taking place over there. And that’s where automation comes in.
Yet another point that grabbed our attention when reviewing this service is the existence of something called a “lossless algorithm.” The algo is believed to minimize trading risk by tracking the markets and particularly tracking support and resistance strength.
The reason this algo has the name “lossless” is that unlike others out there, it doesn’t purely rely on thresholds or seeded values. Plus there are no assumptions or knobs involved here.
That makes it one of the most effective artificial intelligence systems for stock trading out there. We, therefore, think that this is a pretty decent service that can come in handy when you need high-quality trading alerts.
- Takes a “human” approach to the markets
- Runs with no human intervention
- Backed by a hedge fund established in 2015
If you have a bit of experience in trading and wouldn’t mind creating a tailored algorithm for your use, Algoriz might be worth trying. Its main difference with the other platforms is that it’s not a cookie-cutter solution.
With it, you get to actually put your ideas to use. A backend system exists and its main role is to convert your ideas into an algo that you can proudly call your own.
We believe that this would be a good AI system to use especially if you already have a working strategy. All Algoriz would do is automate your strategy ensuring that you can take advantage of market movements around the clock.
What’s more? If you’re still not sure if this automated system is the best one for you, you can simply back-test it. This involves the use of historical data enabling you to see how your algo would have fared had you created earlier.
- Enables you to construct trading algorithms
- Sends email notifications
- Provides built-in brokerage services
- Sentient Investment Management
Made by a Seattle-based startup, Kavout is an AI-driven platform meant for investors at any level of experience. The idea behind it is to take emotions out of the equation.
The system automatically examines a gazillion of data points using that information to keep you up-to-date with filings and stock quotes. And the best part is that this Kai-based AI machine factors in news and events on social media helping you consolidate your fundamental analysis strategy.
Of all the systems we’ve reviewed so far, this one has one of the best layouts. It’s quite easy to navigate even if you’re aren’t an experienced trader. But even then, we’d encourage all beginners to first familiarize themselves with the finance lingo to build their confidence, especially when using Kavout.
Another key highlight of this tool is that it even gives you a rough idea of how Ben Graham and Warren Buffet pick their stocks. Indeed, their formulas have been consolidated into strategies that you can use to enhance your strategy.
The icing on the cake, just like Algoriz, Kavout also provides you with the freedom to customize the algo according to your trading approach. This way, you can go ahead and develop your personal investing philosophy.
As mentioned, at the core of this system is “Kai”. This is a software believed to be consistent and highly reliable. It has been around since 1994.
- Great investment in machine-learning
- Wide variety of variables analyzed
- Ability to filter out “noisy data” leaving behind meaningful insights
Robots are gradually taking over Wall Street. Therefore, it’d be a great idea to get the best AI stock trading bot available so you can make the most of this growing revolution.
Our top-recommended bots are Trade Ideas and Trendspider. The former is highly resourceful, though a bit pricey. The latter, though inferior, still stands out as a worthy first-runners up. It has some relatively useful features and a friendly layout.
Blake is a self-made online day trader with a knack for adventure. On his free time, he loves reading and learning new methods in the trading as well as improving his jiu-jitsu skills. He currently resides in New York City.