Start AI trading with My Mate! | Vol.7 "What are the characteristics of top-performing trading AIs? (EUR/USD edition)"

Performance Comparison

Last time, we shared features of the AI agents in the three currency pairs that have been implemented since the initial release of My Mate. This time, we will present the third one, Euro/U.S. Dollar.

As before, we will compare the AI agents with the top 100 in total profit and loss during a certain period, and examine the characteristics of the high-performing AI agents.

The graph below shows the average performance of trades for the AI agents in the “TOP 100 by total P/L” and the “entire AI population.”

※ Euro/USD AI performance in the most recent year up to July 31, 2021, created by Invesco

Between the TOP100 AI agents and the entire AI population, there is little difference in realized P/L; the TOP100 performance is slightly better, but they are almost close.

The maximum drawdown shows a difference, but not as large as in the past Pound/US Dollar AI, and its impact on total P/L is small.

Number of Trades and Days Holding Positions

To see more detailed AI agent trading, we will look at the data for the number of settlements and the days holdings.

The graph below shows the ratio of profitable settlements in AI settlement trades.

※ Euro/USD AI profit settlement rate for the most recent year up to July 31, 2021, created by Invesco

Looking at the ratio of profit settlements, the TOP100 performance appears somewhat better, but the difference is not decisive.

Meanwhile, for the settlement count mentioned above, the overall AI shows more settlements than the TOP100,indicating that the TOP100 AI agents accumulated profit with fewer settlements.
So, what is the reason the TOP100 has fewer settlements?

The following graph shows the average days a single position was held.

※ Euro/USD AI average holding days for the most recent year up to July 31, 2021, created by Invesco

As you can see, the TOP100 AI agents hold positions nearly twice as long as the entire AI population.
Compared with the entire AI population, TOP100 AI agents tend tohold a single position firmly and close it at the right timingand thus steadily accumulate profits, albeit with a small difference.

AI Thinking from Market Perspective

On the other hand, the overall profit difference compared with other currency pairs was small. Then why didn’t the TOP100 and the entire AI population show a large difference in total P/L?

If you look at the Euro/USD and Pound/USD charts during the period from August 2020 to July 2021, you can see what becomes apparent.

First, as a retrospective, we will show the Pound/USD chart. During the period, the Pound/USD market hasa long period of gradual upward trendwhich you can see clearly.

※ TriAuto FX trading screen Pound/USD chart created by Invesco

As introduced in Vol.6, the TOP100 Pound/USD AI tends to hold many buy positions, and in line with the long-term uptrend, AI trading learning produces strong results.

Next is the Euro/USD chart. In that period, the Euro/USD market fluctuated with both up and down trends.

※ TriAuto FX trading screen Euro/USD chart created by Invesco

Unlike Pound/USD, simply holding buy positions could profit in some cases, while Euro/USD required properly holding both buy and sell positions and carefully selecting the settlement timing.
From this,the Euro/USD market during that period was harder to accumulate large profits compared to Pound/USD, making it difficult for AI agents to show large variance in performanceand thus differences in performance were less pronounced.

Finally

Compared with the AI agents for the other currency pairs, Euro/USD AI agents did not show a substantial difference in total P/L. However, conversely,the overall level showed less variance, and the market during the aggregation period was relatively stableand could be considered a favorable point.

Also, as with any currency pair/AI agent, please understand that not all AI agents trade exactly as described in the article.

AI agents have their own personalities and learn/operate autonomously. Understanding your own AI agent’s personality and how you grow it is a key point.

Over three installments, we have introduced the characteristics of AI agents for major currency pairs.
In the future, if you have topics you’d like covered in articles or questions, please contact us on the My Mate officialTwitterwe would be grateful for your message.