Machine Learning in Trading What is Machine Learning in Trading? Machine learning in trading uses algorithms to analyse vast amounts of financial data, identify patterns, and make predictions or decisions to optimise trading strategies. Explanation By leveraging historical and real-time data, machine learning models can forecast price movements, automate trade execution, and detect anomalies. It enhances decision-making and reduces manual effort. Practical Example of Machine Learning in Trading A hedge fund uses machine learning to analyse market trends and predict price shifts, enabling automated, profitable trade executions.