How Technology Is Changing the Trading Experience
Today, the entire trade cycle can be done via technology – mobile trading, real-time data, execution algorithms, artificial intelligence-assisted analysis. It sounds like an impressive list of adoption numbers. Look at how technology is used at each stage of the trade cycle, and a picture becomes clear: the execution layer is far ahead of the […] The post How Technology Is Changing the Trading…
The modern trading experience is undergoing a transformation driven by technological advancements. Today, various aspects of the trade cycle—from mobile trading to real-time data, execution algorithms, and artificial intelligence-assisted analysis—are facilitated by technology. However, despite this impressive list of technological adoption, the decision-making process in trading still lags behind, particularly when it comes to the use of artificial intelligence.
Recent surveys indicate that three-quarters of UK-based financial companies have already adopted AI, a number that has grown from 58% in 2022 to 75% in 2024. The use cases described by these respondents show that 55% have some level of automated decision-making, with only 2% relying solely on human decision-makers.
Institutional traders recognize this trend, with generative AI ranking as the most influential technology on trading for the third consecutive year, according to J.P. Morgan’s 2026 e-Trading Survey. While models analyze faster, human oversight remains a crucial part of the process. Currently, electronic channels are projected to handle 60% of trading in 2026 and 70% in 2027.
Despite the growing trend towards automation, the EU's MiFID II framework still classifies order parameters set by computer with minimal human input as 'algorithmic trading'. For retail traders, the first step towards automation often involves using Expert Advisors on platforms like MetaTrader. Such traders fall into two categories: those who need automation without the need for coding, and those who require programmability.
The convenience of mobile trading is evident in the statistics. In 2025, 89% of OTC income generated by Plus500 was through mobile or tablet apps. Additionally, 48% of mobile trading app users in the FCA's 2024 research were under 35 years old. However, this ease of access comes with its own set of concerns. A recent NBER paper using transaction data from two German banks found that mobile phone trades were associated with the increased purchasing of lottery-like assets and more return chasing.
The low transaction friction does not ensure good results, emphasizing that such automation does not guarantee positive outcomes.
Written by urgent.news from Nairametrics's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
