[mlmonkey]

> Plug your agent into the sources where information breaks first. Twitter, Telegram, Discord, on-chain activity. Your agent acts before the market does.

In a world where people are fighting with each other to see who can get closer to the trading systems in order to shave off milliseconds, this seems glacial.

[quantumleaper]

The belief that there is some kind of market-impacting underground "wisdom of the crowd" to be found on all these public social platforms is an artifact of the GameStop craze that never went away.

[HolyLampshade]

It existed prior to GME as well, which really should tell you that anyone who is using this is going against people who have spent the last decade at least perfecting signals based on this exact same data.

The hope isn’t that you find some unique signal to trade on. The hope is you find some signal that does not scale in a meaningful way, so it is less likely professional firms are going to devote resources to trading it.

If you stumble into a fresh, scalable signal it’s unlikely it will continue to be profitable after six months. Once you scale to any real profitable size the market will notice and either change behavior, or trade the same signal at a faster speed.

[m3kw9]

Twitter/fb/reddit etc is like the towel that gets the water after it already spilled, while the hedge funds or advanced traders already placed sensors at the entire pipe to detect the leak.

[satvikpendem]

High frequency trading != algorithmic trading, common misconception. HFT is a subset of algorithmic trading but does not encompass all of it.

[HolyLampshade]

While true (I 100% agree with you in the distinction), the statement is “Your agent acts before the market does”, which is simply not going to be the case (assuming this is helping run some sort of trend following strategy). Professional traders who are sensitive to alternative public data sources are already taking that data in quickly and their execution is colocated with the venues. You’re still going to be significantly behind the curve (to a financially dangerous extent in my opinion).

[satvikpendem]

That's true, however there might still be money to be made from retail investors like in 2021, rather than strictly institutional investors.

[janderson215]

Would be interesting to see if widespread (or at least high volume) adoption that is trading based on these signals leads to a more efficient market on net. Of course there will be plenty more attempts at manipulation, but maybe orders of magnitude good players over bad players once the dust settles.

[lichenwarp]

O R D E R s o F m a g N I T U D E!!!!!

[asdff]

It isn't so much that. Imagine if you were able to abrogate a pattern out of general communication networks that predicted a meme stock rise or a shitcoin ahead of a pump and dump. That would be extremely lucrative. That being said I don't think LLM is any tool for the job. You'd be better off working with the underlying datasets yourself using some graph based analysis.

[jpfromlondon]

>In a world where people are fighting with each other to see who can get closer to the trading systems in order to shave off milliseconds, this seems glacial.

the race to zero is over, nobody is doing that any more.