In-Depth Analysis of AI Quantitative Auto-Trading Algorithms Challenging 0% Liquidation Risk Amid Endless Sideways Market Noise
The KOSPI has remained trapped between 2,550 and 2,750 points for over five months. The daily average trading volume of the KOSPI market in the first quarter of this year was approximately 9.5 trillion KRW, a figure that pales in comparison to the liquidity seen during bull markets. This is the epitome of a 'sideways market'—characterized by low volatility, unclear direction, and investor fatigue. In such an environment, the allure of 'AI quantitative auto-trading that claims to generate steady returns regardless of market direction with near-zero liquidation risk' grows exponentially. Marketing materials are flooded with terms like 'low-risk arbitrage,' 'market-neutral strategy,' and 'AI deep learning prediction.' However, based on my two decades of experience, including multiple business failures, real estate loan pressures, and hands-on development of quantitative trading systems, I assert the following: The promise of ...