Last time I heard, machine learning was being used in "
Algorithmic Trading", where trading bots follow your trading strategy religiously and execute orders for you automatically based on the rules you've programmed into the bot (e.g., volume, price, ML models).
I cannot thoroughly explain which ML algorithms out there have the most accuracy in predicting some kind of price action on the financial market, but there are some good resources that explain the use of ML, such as "
Advances in Financial Machine Learning" by
Marcos Lopez de Prado[1]. This book covers topics such as data structuring, ML research, supercomputing methods, and others that use data science and programming. However, the book can be difficult to understand, especially if you do not have a background in hardcore programming, data science, and statistics.
But here is the caveat: even though using ML models for trading can give you an edge over other traders, you must still remember that there is no mathematical model that can miraculously predict the price action of a certain stock or crypto. Remember that price movements largely depend on billions of individual traders happening in real-time, as well as other fundamental factors such as legal issues, media presence, or perhaps the company's financial status.
At the end of the day, algo trading or using a bot in trading is just a complementary tool that you can use to improve your current trading strategy, and it is obviously not a "
cheat" to instantly grow your money. You still need to
upskill your analytical and risk management skills.[1]
https://www.amazon.com/Advances-Financial-Machine-Learning-Marcos/dp/1119482089