Quant trading replaces human judgment with mathematical models. AI quant adds machine learning and LLMs for strategy generation, parameter selection, and risk control.
| Comparison | Manual | AI Quant |
|---|---|---|
| Decision speed | Minutes-hours | Milliseconds |
| Emotion | High impact | None |
| Backtestable | Hard | Fully |
Only what you need: pandas, numpy, matplotlib. Skip web development.
Backtesting = simulating strategy on historical data. Key traps: fees, slippage, overfitting.
Start with MA crossover (MA5 above MA20 = long). Use Backtrader or vectorbt. Goal: run the pipeline, not make money.
Paper trade at least 1 month. Track: win rate, max drawdown, Sharpe. Only go live small when drawdown <15% and Sharpe >1.
①LLMs write strategy code faster ②ML for feature selection ③AI sentiment analysis ④Parameter optimization.
| Stage | Tool | Cost |
|---|---|---|
| Code | Python + VS Code | Free |
| Data | CCXT / local candles | Free-low |
| Backtest | Backtrader / vectorbt | Free |
High school math + basic statistics is enough to start. ML needs more, but you can learn as you go.
Yes. Python is the friendliest language. 2-3 months at 2 hours/day is enough to start.
Learning is free. For live trading, start with $100-500 that you can afford to lose.