Summary

In this chapter, we explored a complex use case to forecast the future, the future of how markets will evolve, how stock prices will evolve, and so on a non-trivial task indeed. We showed how classical statistics extensively used in the field can be used in a quantum regime. This brings some benefits but also, given its current status and the limitations of the devices themselves, poses other impediments we would need to work around.

Encoding a probability distribution on a gate-based quantum device entails some resolution loss. Probability distributions may need to be truncated, and value ranges will be rendered as the same discrete bin that the future price of an option may be placed. This limitation will probably change when bigger devices are made available so that larger distributions can be encoded. However, it is indeed a limitation we should have present in our minds when adopting these techniques.

Of course, there are benefits, as quantum devices are capable...