English

Persistence Probabilities of the German DAX and Shanghai Index

Adaptation and Self-Organizing Systems 2009-11-11 v1 Statistical Finance

Abstract

We present a relatively detailed analysis of the persistence probability distributions in financial dynamics. Compared with the auto-correlation function, the persistence probability distributions describe dynamic correlations non-local in time. Universal and non-universal behaviors of the German DAX and Shanghai Index are analyzed, and numerical simulations of some microscopic models are also performed. Around the fixed point z0=0z_0=0, the interacting herding model produces the scaling behavior of the real markets.

Keywords

Cite

@article{arxiv.nlin/0511048,
  title  = {Persistence Probabilities of the German DAX and Shanghai Index},
  author = {F. Ren and B. Zheng and H. Lin and L. Y. Wen and S. Trimper},
  journal= {arXiv preprint arXiv:nlin/0511048},
  year   = {2009}
}