Financial Analysis: Build a ChatGPT Pairs Trading Bot

Hello friends!

As one of the original artificial intelligence and machine learning instructors on this platform, how could I not create a course on ChatGPT?

ChatGPT and its successor, GPT-4, have already begun to change the world. People are excited about new opportunities, and terrified of the potential impacts on our society.

This course combines 2 of my favorite topics: AI and finance (algorithmic trading).

The premise of this course is simple: use ChatGPT to build a trading bot (specifically, using pairs trading which is what I was interested in at the time).

Throughout the course, we will learn about the amazing capabilities of ChatGPT and GPT models in general, such as GPT-3, GPT-3.5, GPT-4, etc. We will learn about the many pitfalls of these models, and why you need to keep your guard up. These models do make mistakes, but we will learn how to deal with them. We will learn the best ways to make use of ChatGPT to help us be more efficient and productive.

Important consideration

Why not just ask ChatGPT yourself and forego this course? Sure, you can tell ChatGPT if you get an error and maybe it’ll fix it, but that only works for syntax errors (errors that break the rules of the Python language). What you’ll miss, if you don’t have foundational knowledge in Python, finance, and statistics, is semantic errors (errors in logic and reasoning), because you won’t even notice them in the first place. That is what it means to “keep your guard up”, and that is one of the major lessons in this course, which I’m already seeing is very easy for people to miss!

So what are you waiting for? Join me now on this exciting journey! (And maybe learn how to make some money in the process)

Suggested Prerequisites

• A decent understanding of Python and data science libraries (Numpy, Matplotlib, Pandas)
• Basic understanding of finance (stock prices, returns, log returns, cumulative returns)