Autonio: Financial Algorithms & Melodies

Well, it was, an interesting week i must say, ... i spent most of it exceedingly tired to be honest.

Though on the coat-tails of recently watching Elon Musk on Joe Rogan, i must admit i have been hyper fascinated with AI and Algorithms, particularly as they relate to the crypto space and trading.

Any traditional investor from wall-street or the commodities market would be aware, though some in the Crypto space may not be, that investment firms, large ones, all use expensive, sophisticated, algorithmic trading bots to make the greater majority of their financial trading decisions.

The reasons for this are not nefarious, believe it or not folks, the greater majority of stock brokers and financial planners, do actually want to make their clients money, despite what popular fiction like wolf of wallstreet would have you believe.

Sure, there are those type of people in the world, but that is true in every industry to be honest with you.

So they use expensive sophisticated computer algorithms to help them trade, these things are not available to the retail investor, so the would be retail investor usually has a broker, and the brokerage firm, will usually purchase weekly or monthly report data from the investment firm, and ergo, in conjunction with their own analysis make recommendations to their client.

Now, in their world, the offline world, things are heavily regulated, and brokers and financial planners have legal obligations and responsibilities so far as managing their clients money, and how they can interact with the market.

It's important for people to understand, this is not the case in Cryptocurrency markets, and it likely never will be.

I know some people think it will be, i personally think it won't be, and while a long discussion in itself, succinctly, its a movement of cypherpunk's at its core, and we shift, when anyone tries to control us, that is not going to change, it's ingrained into the movement.

However, i digress...

Its important to realize the nature of the market because, pretty much everything that is illegal, frowned upon or considered malicious, so far as trading and investing is concerned, is 100% legal and considered acceptable in Crypto.

And it happens on a day to day basis, front running, wash trading, you name it.

Most of which, however, is also done at an algorithmic level.

But who are the bears? who are the market movers.

To the likes of you and I? we are nothing, even some of the most notable traders and investors i am friends with, are also nothing, the sad reality is, a lot of these bears, are early adopters, yes we are early adopters, but i am talking 2009 early adopters, and the greater majority of those individuals, were individuals from the dark web.

I will leave the rest to your imagination.

My point of mentioning that, is that it is no surprise to me, that when these type of individuals, meet up with the kind of negative individuals from wall-street that would, be that cliche "wolf of wallstreet" type stock broker, we start to see these financial dirty tactics used ... as we have, over the past 3 years.

So how can we fight the bears and their bots? Well, we have to be able to not only see how they think, but also have our own edge against it.

This is where things like Autonio can come in handy, using it, you can set your own trading algorithms and test them out, with micro volumes, though, you can also mimic, traditional algorithms, backtesting against historic data.

Trading with it? You can, but personally, i see it as a time wasted venture unless you are prepared to establish a trading portfolio of about 10,000 USD, the margins are just, not worth your effort, its just better to buy and hold for anything less.

But, part of investing, with lower volumes, is making sure you invest at, opportune moments, they may never be the best, but they were good "buying opportunities"

Part of this, is knowing how to read the indicators yourself, the predominate ones, RSI, EMA, MACD which you can manually do at places like trading view for free, secondary is knowing how to understand sentimental analysis, which has always actually been my primary investment tool ... its rooted in psychology, so its non-algorithmic, bots cant touch it, and most people, don't know how to use it.

But there is another, and that's bot analysis, how do you see, how the bots will behave?

By studying the bots, which you can do, with backtesting indicators, on platforms like Autonio , even if you don't intend on actively using it for trading, you can still use it, for historical analysis and then use pattern recognition when you are reviewing charts manually, knowing, that the AI will act in a linear, algorithmic way.

Its probably cheaper than ever to get set up with Autonio now than it ever has been, and after spending the past 2 days fiddling around with it, i can certainly say it has improved my technical analysis, as now i have a tool to analyse AI Bot behavior.

Am i using Autonio for trading? no, i am using it for bot analytics, sentimental analysis, is the study of what the people in the markets do, now i want to know what the AI in the markets will do, based on what they perceive of the people.

Humans, trade on emotion.
AI, trade on logic.

We always, as investors, talk about buying, black swan red's, so i am interested in identifying where both the human and the AI are both confused, as that, should generally, be the best buy position.

My quest? seek out the bot traders, and find out their melodies, as every indicator has its own song to sing with the right configuration.

Indicators that i use? i actually, keep it quite simple to be honest, there is a saying, "the more indicators you use, the harder it is to make a decision" so personally, i actually just use RSI 35/65 as a guide and EMA 19/32 candles but as guide, then i overlay it with sentimental just by sensing the overall mood of the community at large.

That, has always worked for me, but there are a lot more sophisticated investors than me, and i would like to have a glass of wine and chat with them on discord, so lets see how we go.