Algorithmic trading system based on technical indicators in artificial intelligence: A review

Abstract

Due to the advanced and hasty development of technology nowadays, researches in relation to Artificial Intelligence (AI) such as Machine Learning (ML), Genetic Algorithm (GA), Neural Network (NN) and Expert System (ES) are progressively introduced. These AI types are also frequently presented in building a new and profitable Algorithmic Trading System (ATS). Apart from Fundamental Analysis (FA), Technical Analysis (TA) based on Technical Indicators (TIs) is one of the most AI used in the development of ATS. However, there is a lack of research despite the available knowledge on TIs in ATS where AI is implemented. Therefore, this study aims to review the ATS current work comprehensively using TIs in AI. A systematic literature review (SLR) has been performed to achieve the objective of this study. This article analyses the rough and systematic literature search process for 17 selected papers from 2010 to 2020. The analysis depicts that in most published studies, GA with multiple TIs is applied. The result of this study leads to a pertinent suggestion that is aimed for further researches on ATS to be conducted by future researchers and traders.