Pattern-Based Trading by Continual Learning of Price and Volume Patterns

Patrick Liston*, Charles Gretton, Artem Lensky

*Corresponding author for this work

Research output: Chapter in Book/Report/Conference proceedingConference contributionpeer-review

Abstract

Automating trading decisions has been a pursuit of researchers and practitioners alike for decades. We contribute to the literature focusing on “pattern based” strategies. Dynamic time warping is used to group similar patterns into a representative category, while the method of continual learning augmentation is used to maintain the set of patterns used for decision-making. Thus, we implement a novel approach to pattern-based trading, utilising adaptive memory structures to enable adaptability of agent decision making and overall agent performance. Two new online pattern-based trading agents are introduced and tested on two-sets of historical cryptocurrency data, for the BTCUSDT pair over the periods of 2017–2023 and 2023–2024. We compare our newly formulated agents against an established baseline of rule-based agents, thereby comparing the relative profit generating abilities of a wide range of agents.

Original languageEnglish
Title of host publicationAI (1)
Subtitle of host publicationAdvances in Artificial Intelligence - 37th Australasian Joint Conference on Artificial Intelligence, AI 2024, Proceedings
EditorsMingming Gong, Yiliao Song, Yun Sing Koh, Wei Xiang, Derui Wang
PublisherSpringer Science and Business Media Deutschland GmbH
Pages381-393
Number of pages13
ISBN (Print)9789819603473
DOIs
Publication statusPublished - 2024
Event37th Australasian Joint Conference on Artificial Intelligence, AJCAI 2024 - Melbourne, Australia
Duration: 25 Nov 202429 Nov 2024

Publication series

NameLecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics)
Volume15442 LNAI
ISSN (Print)0302-9743
ISSN (Electronic)1611-3349

Conference

Conference37th Australasian Joint Conference on Artificial Intelligence, AJCAI 2024
Country/TerritoryAustralia
CityMelbourne
Period25/11/2429/11/24

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