Automated Trading, often referred to as algo-trading, uses computer programs to trade on the stock market. These programs follow a set of instructions, like when to buy or sell, based on price, time, or market volume, without human intervention.

AI trading involves using artificial intelligence, particularly machine learning algorithms, to analyze market data. The AI can identify patterns and trends that might not be obvious to humans, and make trading decisions based on this analysis.

The main benefits are speed and efficiency. Automated systems can make trades much faster than humans. They also operate continuously, can analyze vast amounts of data, and remove emotional decision-making from the trading process.

Yes, like all trading, there are risks. Automated systems might misinterpret market conditions or face technical issues. Also, because these systems can execute trades quickly, they can potentially amplify market volatility.