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This paper proposes and analyzes a novel multi-agent opinion dynamics model in which agents have access to actions which are quantized version of the opinions of their neighbors. The model produces different behaviors observed in social…

Dynamical Systems · Mathematics 2016-02-08 N. R. Chowdhury , I. -C. Morarescu , S. Martin , S. Srikant

We show that multivariate Hawkes processes coupled with the nonparametric estimation procedure first proposed in Bacry and Muzy (2015) can be successfully used to study complex interactions between the time of arrival of orders and their…

Trading and Market Microstructure · Quantitative Finance 2018-07-10 Marcello Rambaldi , Emmanuel Bacry , Fabrizio Lillo

We present a general framework for modelling the dynamics of limit order books, built on the combination of two modelling ingredients: the order flow, modelled as a general spatial point process, and market clearing, modelled via a…

Mathematical Finance · Quantitative Finance 2023-02-03 Rama Cont , Pierre Degond , Lifan Xuan

In this work the system of agents is applied to establish a model of the nonlinear distributed signal processing. The evolution of the system of the agents - by the prediction time scale diversified trend followers, has been studied for the…

Statistical Finance · Quantitative Finance 2011-10-13 Tomáš Tokár , Denis Horváth , Michal Hnatich

The dynamics of a stock market with heterogeneous agents is discussed in the framework of a recently proposed spin model for the emergence of bubbles and crashes. We relate the log returns of stock prices to magnetization in the model and…

Statistical Mechanics · Physics 2009-11-07 Taisei Kaizoji , Stefan Bornholdt , Yoshi Fujiwara

We study a stochastic model for the diffusion of competing opinions in a population composed of three types of agents: trend-followers, opposers, and indifferent individuals. The decision dynamics are driven by reinforcement mechanisms,…

Probability · Mathematics 2025-06-24 Manuel González-Navarrete

It has been suggested that marked point processes might be good candidates for the modelling of financial high-frequency data. A special class of point processes, Hawkes processes, has been the subject of various investigations in the…

Trading and Market Microstructure · Quantitative Finance 2019-08-23 Ioane Muni Toke

In this work we show how generative tools, which were successfully applied to limit order book data, can be utilized for the task of imitating trading agents. To this end, we propose a modified generative architecture based on the…

Computational Finance · Quantitative Finance 2025-09-03 Mateusz Wilinski , Juho Kanniainen

This paper studies a class of consensus dynamics where the interactions between agents are affected by a time-varying unknown scaling factor. This situation is encountered in the control of robotic fleets over a wireless network or in…

Systems and Control · Electrical Eng. & Systems 2025-11-14 Zoltan Nagy , Irinel-Constantin Morarescu , Lucian Busoniu

A growing part of the behavioral finance literature has addressed some of the stylized facts of financial time series as macroscopic patterns emerging from herding interactions among groups of agents with heterogeneous trading strategies…

Physics and Society · Physics 2015-09-28 Adrián Carro , Raúl Toral , Maxi San Miguel

We present a novel agent-based approach to simulating an over-the-counter (OTC) financial market in which trades are intermediated solely by market makers and agent visibility is constrained to a network topology. Dynamics, such as changes…

Econometrics · Economics 2024-05-07 James T. Wilkinson , Jacob Kelter , John Chen , Uri Wilensky

We study how AI agents form expectations and trade in experimental asset markets. Using a simulated open-call auction populated by autonomous Large Language Model (LLM) agents, we document three main findings. First, AI agents exhibit…

General Economics · Economics 2026-04-21 Shumiao Ouyang , Pengfei Sui

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 consider the dynamics and the interactions of multiple reinforcement learning optimal execution trading agents interacting with a reactive Agent-Based Model (ABM) of a financial market in event time. The model represents a market ecology…

Trading and Market Microstructure · Quantitative Finance 2024-08-15 Matthew Dicks , Andrew Paskaramoorthy , Tim Gebbie

We examine the tuning of cooperative behavior in repeated multi-agent games using an analytically tractable, continuous-time, nonlinear model of opinion dynamics. Each modeled agent updates its real-valued opinion about each available…

Physics and Society · Physics 2021-11-24 Shinkyu Park , Anastasia Bizyaeva , Mari Kawakatsu , Alessio Franci , Naomi Ehrich Leonard

We present our approach to the problem of how an agent, within an economic Multi-Agent System, can determine when it should behave strategically (i.e. learn and use models of other agents), and when it should act as a simple price-taker. We…

Multiagent Systems · Computer Science 2007-05-23 Jose M. Vidal , Edmund H. Durfee

In financial markets, liquidity is not constant over time but exhibits strong seasonal patterns. In this article we consider a limit order book model that allows for time-dependent, deterministic depth and resilience of the book and…

Trading and Market Microstructure · Quantitative Finance 2011-09-14 Antje Fruth , Torsten Schoeneborn , Mikhail Urusov

This paper is intended to explain, in simple terms, some of the mechanisms and agents common to multiagent financial market simulations. We first discuss the necessity to include an exogenous price time series ("the fundamental value") for…

Multiagent Systems · Computer Science 2019-09-26 David Byrd

In this article, we work towards the goal of developing agents that can learn to act in complex worlds. We develop a probabilistic, relational planning rule representation that compactly models noisy, nondeterministic action effects, and…

Machine Learning · Computer Science 2011-10-12 L. P. Kaelbling , H. M. Pasula , L. S. Zettlemoyer

Stock price change in financial market occurs through transactions in analogy with diffusion in stochastic physical systems. The analysis of price changes in real markets shows that long-range correlations of price fluctuations largely…

Statistical Mechanics · Physics 2008-12-10 V. Gontis
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