English

Extreme times in financial markets

Other Condensed Matter 2008-12-02 v1 Physics and Society Trading and Market Microstructure

Abstract

We apply the theory of continuous time random walks to study some aspects of the extreme value problem applied to financial time series. We focus our attention on extreme times, specifically the mean exit time and the mean first-passage time. We set the general equations for these extremes and evaluate the mean exit time for actual data.

Keywords

Cite

@article{arxiv.cond-mat/0406556,
  title  = {Extreme times in financial markets},
  author = {Jaume Masoliver and Miquel Montero and Josep Perello},
  journal= {arXiv preprint arXiv:cond-mat/0406556},
  year   = {2008}
}

Comments

6 pages, 3 figures