How I made an Open-Source AI Hedge Fund

<p>In this post I explain how I created an artificial intelligence that makes automated trades for me daily.</p> <p>With modern advancements in machine learning and easy access to data online, it&rsquo;s never been easier to get involved in quantitative trading. To make things even better, cloud tools like AWS make it a breeze to turn trading ideas into real, functional trading bots. For the past couple of years I&rsquo;ve been messing around with financial data and recently decided to take the plunge to make a fully automated strategy.</p> <h1>The Strategy</h1> <p>Since this was my first automated strategy, I decided to make it fairly simple. I would swing trade SPY (S&amp;P 500 index) using informed decisions from an ML model. I decided to use SPY as my asset of choice since it has relatively low risk incase something went wrong with my strategy.</p> <blockquote> <p><strong>Goal</strong>: Swing trade SPY using informed buy/sell points determined by a machine learning model.</p> </blockquote> <h1>The Data</h1> <p>To make informed decisions of when to trade SPY, I trained an ML model that would predict trades based on daily historical data from various financial sectors and US treasuries. I pulled around 20 years of daily data from these assets using the open source YFinance API.</p> <p><a href="https://ryankemmer.medium.com/how-i-made-an-open-source-ai-hedge-fund-bec2bf07c1c"><strong>Website</strong></a></p>