English
Related papers

Related papers: A non-linear model of limit order book dynamics

200 papers

Leveraging recent work on data-driven methods for constructing a finite state space Markov process from dynamical systems, we address two problems for obtaining further reduced statistical representations. The first problem is to extract…

Chaotic Dynamics · Physics 2024-05-14 Ludovico Theo Giorgini , Andre N. Souza , Peter J. Schmid

Dynamic power system models are instrumental in real-time stability, monitoring, and control. Such models are traditionally posed as systems of nonlinear differential algebraic equations (DAEs): the dynamical part models generator…

Systems and Control · Electrical Eng. & Systems 2024-02-02 Mohamad H. Kazma , Ahmad F. Taha

This paper presents a framework for aerial manipulation of an extensible cable that combines a high-fidelity model based on partial differential equations (PDEs) with a reduced-order representation suitable for real-time control. The PDEs…

Robotics · Computer Science 2026-02-20 Antonio Rapuano , Yaolei Shen , Federico Califano , Chiara Gabellieri , Antonio Franchi

This paper focuses on the operation of an electricity market that accounts for participants that bid at a sub-minute timescale. To that end, we model the market-clearing process as a dynamical system, called market dynamics, which is…

Optimization and Control · Mathematics 2021-12-14 Pengcheng You , Yan Jiang , Enoch Yeung , Dennice F. Gayme , Enrique Mallada

This paper presents an equilibrium model of dynamic trading, learning, and pricing by strategic investors with trading targets and price impact. Since trading targets are private, rebalancers and liquidity providers filter the child order…

Trading and Market Microstructure · Quantitative Finance 2021-08-09 Xiao Chen , Jin Hyuk Choi , Kasper Larsen , Duane J. Seppi

We introduce a Markovian single point process model, with random intensity regulated through a buffer mechanism and a self-exciting effect controlling the arrival stream to the buffer. The model applies the principle of the Hawkes process…

Probability · Mathematics 2017-10-12 Ingemar Kaj , Mine Caglar

This paper analyzes stochastic networks consisting of finite capacity nodes with different classes of requests which move according to some routing policy. The Markov processes describing these networks do not, in general, have…

Networking and Internet Architecture · Computer Science 2007-08-13 Nelson Antunes , Christine Fricker , Philippe Robert , Danielle Tibi

Limit order books (LOBs) match buyers and sellers in more than half of the world's financial markets. This survey highlights the insights that have emerged from the wealth of empirical and theoretical studies of LOBs. We examine the…

Trading and Market Microstructure · Quantitative Finance 2015-03-17 Martin D. Gould , Mason A. Porter , Stacy Williams , Mark McDonald , Daniel J. Fenn , Sam D. Howison

Modelling joint dynamics of liquid vanilla options is crucial for arbitrage-free pricing of illiquid derivatives and managing risks of option trade books. This paper develops a nonparametric model for the European options book respecting…

Computational Finance · Quantitative Finance 2021-08-24 Samuel N. Cohen , Christoph Reisinger , Sheng Wang

The existing Neural ODE formulation relies on an explicit knowledge of the termination time. We extend Neural ODEs to implicitly defined termination criteria modeled by neural event functions, which can be chained together and…

Machine Learning · Computer Science 2021-10-28 Ricky T. Q. Chen , Brandon Amos , Maximilian Nickel

In this article, we present an extension of the formulation recently developed by the authors (A Framework for Data-Driven Computational Mechanics Based on Nonlinear Optimization, arXiv:1910.12736 [math.NA]) to the structural dynamics…

Numerical Analysis · Mathematics 2019-12-25 Cristian Guillermo Gebhardt , Marc Christian Steinbach , Dominik Schillinger , Raimund Rolfes

We revisit closed-loop performance guarantees for Model Predictive Control in the deterministic and stochastic cases, which extend to novel performance results applicable to receding horizon control of Partially Observable Markov Decision…

Optimization and Control · Mathematics 2020-05-01 Martin A. Sehr , Robert R. Bitmead

While the market impact of aggressive orders has been extensively studied, the impact of passive orders, those executed through limit orders, remains less understood. The goal of this paper is to investigate passive market impact by…

Mathematical Finance · Quantitative Finance 2024-12-11 Youssef Ouazzani Chahdi , Mathieu Rosenbaum , Grégoire Szymanski

This paper presents a non-minimal order dynamics model for many analysis, simulation, and control problems of constrained mechanical systems with switching topology by making use of linear projection operator. The distinct features of this…

Systems and Control · Electrical Eng. & Systems 2021-08-24 Farhad Aghili

Dynamical processes can be classified in various ways as deterministic or stochastic, and continuous or discrete time. All these types can be studied by the path-spaces they generate, and stationary measures on that path-space. Such…

Dynamical Systems · Mathematics 2026-03-19 Suddhasattwa Das

Many physical systems are formulated on domains which are relatively large in some directions but relatively thin in other directions. We expect such systems to have emergent structures that vary slowly over the large dimensions. Common…

Dynamical Systems · Mathematics 2018-06-28 J. E. Bunder , A. J. Roberts

Steering a system towards a desired target in a very short amount of time is challenging from a computational standpoint. Indeed, the intrinsically iterative nature of optimal control problems requires multiple simulations of the physical…

Optimization and Control · Mathematics 2025-05-16 Matteo Tomasetto , Andrea Manzoni , Francesco Braghin

The goal of this paper is to analyze distributional Markov Decision Processes as a class of control problems in which the objective is to learn policies that steer the distribution of a cumulative reward toward a prescribed target law,…

Optimization and Control · Mathematics 2026-02-09 Nicole Bäuerle , Athanasios Vasileiadis

In this paper, we analyze the use of the Ornstein-Uhlenbeck process to model dynamical systems subjected to bounded noisy perturbations. In order to discuss the main characteristics of this new approach we consider some basic models in…

Dynamical Systems · Mathematics 2024-01-17 Tomás Caraballo , Renato Colucci , Javier López-de-la-Cruz , Alain Rapaport

We propose an analytic approach for the steady-state dynamics of Markov processes on locally tree-like graphs. It is based on time-translation invariant probability distributions for edge trajectories, which we encode in terms of infinite…

Statistical Mechanics · Physics 2025-09-08 Stefano Crotti , Thomas Barthel , Alfredo Braunstein