Is trading art or science?

Discussion in 'Psychology' started by TheKillerTrader, Feb 8, 2007.

  1. I wanted to open this thread to discuss this big and important issue: can logic of computer algorithm replace the common sense of a human trader?
    In chess the computer bit the human, who will eventually win in trading?

    What do you think?

  2. does ET spin in a slow circle

    yes it does, everything new people bring up, was already discussed

    to quote livermore "everything that will happen has happened before"
  3. Very succinctly put. :)
  4. Trading is an art.
    Algorithms and math equations/ indicators don't move markets. People (fear & greed) do.
  5. Creation of the strategy is an art... this part of trading is interesting...

    Implementation of the strategy is a science... this part of trading is boring like hell...
  6. maxpi


    Trading is an art that is working very hard at becoming a science but never seems to quite achieve it.
  7. I'd like to explore what candletrader said for a minute.

    Creating a strategy requires a lot of creativity (we can call that the "art" part), but it also requires assimilating a large amount of knowledge about trading entry, money management, reading the markets, knowing when to take small gains and when to go for a bigger pot, utilizing multiple trading strategies/instruments, etc., etc., all that stuff, that's all science - a lot of it math (probability, distributions along an equity curve, game theory) ... and as they say, a little luck most definitely won't hurt ya! (that's definitely art).

    Once you've put your tool-set together, it's going to require a very methodical approach and a lot of discipline to implement it, consistently, time and again with every trade, day-in and day-out. So that part requires consistency in execution and discipline to do so, and those qualities exist in all of the Arts & Sciences.

    Just looking around this forum you will see a myriad of different styles, theories, ideas of what is right or wrong, what represents good or bad trading, etc. Perhaps the only thing we can agree on collectively is that there are many different ways to make money.

    That being the case, since there is no set way to measure it, and it always changes anyway, trading has got to be one of the most sophisticated Arts that I know of.

    Good trading,

    Jimmy Jam
  8. It's an art AND a science IMO. I have no interest in letting a program do my trading but to each their own!
  9. Well, I am the one who initiated this post.

    To prove my point I have developed this web site

    It is a unique web based trading simulator where traders can practice and improve their skills by trading a real time fictitious index.

    Try it and you will understand why i am saying it's an art!

  10. i guess this means, trading is neither art nor science, but business?
    #10     Feb 9, 2007