A data-driven approach for modeling the behavior of stock prices
Authors: Khalid Aram
Abstract: In this paper, we describe two approaches to model the behavior of stock prices. The first approach considers the underlying probability distribution of day-to-day price differences. The second approach models the movement of the price as a stochastic birth-death process. We demonstrated the two approaches using historical opening prices of Apple inc. and compared the simulated prices from the two approaches to the actual ones using information theory metrics.
Explore the paper tree
Click on the tree nodes to be redirected to a given paper and access their summaries and virtual assistant
Look for similar papers (in beta version)
By clicking on the button above, our algorithm compares the title and abstract of this paper with all the papers of the same arXiv category that we have summarized, and finds the closest ones. You can rerun it from time to time: the results improve as our database grows.