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We study the dynamics of the limit order book of liquid stocks after experiencing large intra-day price changes. In the data we find large variations in several microscopical measures, e.g., the volatility the bid-ask spread, the bid-ask…

Trading and Market Microstructure · Quantitative Finance 2009-10-26 Bence Toth , Janos Kertesz , J. Doyne Farmer

We conduct a market experiment with human agents in order to explore the structure of transaction networks and to study the dynamics of wealth accumulation. The experiment is carried out on our platform for 97 days with 2,095 effective…

Physics and Society · Physics 2010-01-22 Jie-Jun Tseng , Sai-Ping Li , Sun-Chong Wang

While the use of volatilities is pervasive throughout finance, our ability to determine the instantaneous volatility of stocks is nascent. Here, we present a method for measuring the temporal behavior of stocks, and show that stock prices…

Statistical Finance · Quantitative Finance 2010-07-30 Achilles D. Speliotopoulos

The dynamics of prices in financial markets has been studied intensively both experimentally (data analysis) and theoretically (models). Nevertheless, a complete stochastic characterization of volatility is still lacking. What it is well…

Statistical Mechanics · Physics 2009-10-31 Michele Pasquini , Maurizio Serva

We investigated distributions of short term price trends for high frequency stock market data. A number of trends as a function of their lengths was measured. We found that such a distribution does not fit to results following from an…

Physics and Society · Physics 2009-11-13 Paweł Sieczka , Janusz A. Hołyst

Stock market indices are one of the most investigated complex systems in econophysics. Here we extend the existing literature on stock markets in connection with nonextensive statistical mechanics. We explore the nonextensivity of price…

Statistical Finance · Quantitative Finance 2019-05-01 Dusan Stosic , Darko Stosic , Tatijana Stosic

Price gap, defined as the logarithmic price difference between the first two occupied price levels on the same side of a limit order book (LOB), is a key determinant of market depth, which is one of the dimensions of liquidity. However, the…

Trading and Market Microstructure · Quantitative Finance 2018-02-27 Gao-Feng Gu , Xiong Xiong , Yong-Jie Zhang , Wei Chen , Wei Zhang , Wei-Xing Zhou

The nature of fluctuations in the Indian financial market is analyzed in this paper. We have looked at the price returns of individual stocks, with tick-by-tick data from the National Stock Exchange (NSE) and daily closing price data from…

Physics and Society · Physics 2012-01-12 Sitabhra Sinha , Raj Kumar Pan

We show that recent stock market fluctuations are characterized by the cumulative distributions whose tails on short, minute time scales exhibit power scaling with the scaling index alpha > 3 and this index tends to increase quickly with…

Statistical Finance · Quantitative Finance 2009-11-13 S. Drozdz , M. Forczek , J. Kwapien , P. Oswiecimka , R. Rak

Multifractal analysis and extensive statistical tests are performed upon intraday minutely data within individual trading days for four stock market indexes (including HSI, SZSC, S&P500, and NASDAQ) to check whether the indexes (instead of…

Statistical Finance · Quantitative Finance 2008-12-02 Zhi-Qiang Jiang , Wei-Xing Zhou

In the present work we investigate the multiscale nature of the correlations for high frequency data (1 minute) in different futures markets over a period of two years, starting on the 1st of January 2003 and ending on the 31st of December…

Statistical Finance · Quantitative Finance 2009-11-13 M. Bartolozzi , C. Mellen , T. Di Matteo , T. Aste

We perform return interval analysis of 1-min {\em{realized volatility}} defined by the sum of absolute high-frequency intraday returns for the Shanghai Stock Exchange Composite Index (SSEC) and 22 constituent stocks of SSEC. The scaling…

Statistical Finance · Quantitative Finance 2009-09-11 Fei Ren , Gao-Feng Gu , Wei-Xing Zhou

The dynamics of a complex system is usually recorded in the form of time series, which can be studied through its visibility graph from a complex network perspective. We investigate the visibility graphs extracted from fractional Brownian…

Physics and Society · Physics 2009-09-24 Xiao-Hui Ni , Zhi-Qiang Jiang , Wei-Xing Zhou

The growth of business firms is an example of a system of complex interacting units that resembles complex interacting systems in nature such as earthquakes. Remarkably, work in econophysics has provided evidence that the statistical…

Statistical Finance · Quantitative Finance 2019-01-30 Nathan C. Frey , Sakib Matin , H. Eugene Stanley , Michael Salinger

We report an empirical study of the Ibovespa index of the Sao Paulo Stock Exchange in which we detect the existence of long-range correlations. To analyze our data we introduce a rescaled variant of the usual Detrended Fluctuation Analysis…

Statistical Mechanics · Physics 2016-08-31 R. L. Costa , G. L. Vasconcelos

We confirm and substantially extend the recent empirical result of Andersen et al. \cite{Andersen2015}, where it is shown that the amount of risk $W$ exchanged in the E-mini S\&P futures market (i.e. price times volume times volatility)…

Trading and Market Microstructure · Quantitative Finance 2016-09-22 Michael Benzaquen , Jonathan Donier , Jean-Philippe Bouchaud

Many studies assume stock prices follow a random process known as geometric Brownian motion. Although approximately correct, this model fails to explain the frequent occurrence of extreme price movements, such as stock market crashes. Using…

Statistical Finance · Quantitative Finance 2015-05-14 Miguel A. Fuentes , Austin Gerig , Javier Vicente

Summarized by the efficient market hypothesis, the idea that stock prices fully reflect all available information is always confronted with the behavior of real-world markets. While there is plenty of evidence indicating and quantifying the…

Physics and Society · Physics 2020-12-16 Luiz G. A. Alves , Higor Y. D. Sigaki , Matjaz Perc , Haroldo V. Ribeiro

Scaling laws offer a powerful lens to understand complex transactional behaviors in decentralized systems. This study reveals distinctive statistical signatures in the transactional dynamics of ERC20 tokens on the Ethereum blockchain by…

Statistical Finance · Quantitative Finance 2025-08-07 Kundan Mukhia , SR Luwang , Md. Nurujjaman , Tanujit Chakraborty , Suman Saha , Chittaranjan Hens

Human behaviors are often driven by human interests. Despite intense recent efforts in exploring the dynamics of human behaviors, little is known about human-interest dynamics, partly due to the extreme difficulty in accessing the human…

Physics and Society · Physics 2013-07-31 Zhi-Dan Zhao , Zimo Yang , Zike Zhang , Tao Zhou , Zi-Gang Huang , Ying-Cheng Lai