Bryan Bottarelli, Head Trade Tactician, Monument Traders Alliance Editor's Note: In less than one week, Head Trading Tactician Bryan Bottarelli will be revealing "Cash Code X," a software that detects exactly when a stock is ready to go parabolic. Click here to sign up for this FREE masterclass today. - Ryan Fitzwater, Publisher
Dear Reader, Back in June 2025 - a Reddit user by the name of Nathan Smith posted an experiment. He asked ChatGPT to pick U.S. microcap stocks (stocks with a market cap below $300 million) for him. His goal? "See how a language model performs in picking small, under-covered stocks with a $100 budget." Over the first four weeks of his experiment - the account reportedly generated 24-25% return on the $100. A 24-25% return... Sounds like a success, right? Not so fast. Soon after posting those results... Smith wrote: "I no longer can get chat to provide insights. I'm not sure what has changed but it is making up data and agent mode won't work anymore." Oops. It's a good reminder that leaving investing decisions solely up to AI is a BAD idea... for a number of reasons... Problem No. 1. It's not hands-free While ChatGPT generated the stock picks, the user still had to monitor the trades every step of the way. He had to adjust if ChatGPT contradicted itself or recommended trades that were impossible. He also had to impose his own stop losses and manually place the orders. So although he was technically using ChatGPT to trade, it was more of an assistant than a "done-for-you" trading service. Problem No. 2. He had no access to realtime data ChatGPT can't produce live price charts, track volume, see liquidity, or react fast enough to catalyst news. It's a language model... meaning it's picking stocks based on text patterns from user data, not financial reality. This sets it up for all sorts of false or outdated information that could lead to disastrous trades that crater your account. |
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