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Related papers: Why is order flow so persistent?

200 papers

In order to understand the origin of stock price jumps, we cross-correlate high-frequency time series of stock returns with different news feeds. We find that neither idiosyncratic news nor market wide news can explain the frequency and…

Statistical Finance · Quantitative Finance 2008-12-02 Armand Joulin , Augustin Lefevre , Daniel Grunberg , Jean-Philippe Bouchaud

We report evidence of a deep interplay between cross-correlations hierarchical properties and multifractality of New York Stock Exchange daily stock returns. The degree of multifractality displayed by different stocks is found to be…

Statistical Finance · Quantitative Finance 2014-04-10 Raffaello Morales , T. Di Matteo , Tomaso Aste

Traded corporations are required by law to have a majority of outside directors on their board. This requirement allows the existence of directors who sit on the board of two or more corporations at the same time, generating what is…

General Finance · Quantitative Finance 2014-10-27 Serguei Saavedra , Luis J. Gilarranz , Rudolf P. Rohr , Michael Schnabel , Brian Uzzi , Jordi Bascompte

Using high-quality data, we report several statistical regularities of equity auctions in the Paris stock exchange. First, the average order book density is linear around the auction price at the time of auction clearing and has a large…

Statistical Finance · Quantitative Finance 2023-09-19 Mohammed Salek , Damien Challet , Ioane Muni Toke

This study measures the long memory of investor-segregated cash flows within the Korean equity market from 2015 to 2024. Applying detrended fluctuation analysis (DFA) to BUY, SELL, and NET aggregates, we estimate the Hurst exponent ($H$)…

General Finance · Quantitative Finance 2025-08-29 Gabjin Oh

Most modern financial markets use a continuous double auction mechanism to store and match orders and facilitate trading. In this paper we develop a microscopic dynamical statistical model for the continuous double auction under the…

Statistical Mechanics · Physics 2009-11-07 Eric Smith , J. Doyne Farmer , Laszlo Gillemot , Supriya Krishnamurthy

Order positions are key variables in algorithmic trading. This paper studies the limiting behavior of order positions and related queues in a limit order book. In addition to the fluid and diffusion limits for the processes, fluctuations of…

Trading and Market Microstructure · Quantitative Finance 2015-10-14 Xin Guo , Zhao Ruan , Lingjiong Zhu

Causal consistency is an attractive consistency model for replicated data stores. It is provably the strongest model that tolerates partitions, it avoids the long latencies associated with strong consistency, and, especially when using…

Distributed, Parallel, and Cluster Computing · Computer Science 2018-03-13 Diego Didona , Rachid Guerraoui , Jingjing Wang , Willy Zwaenepoel

We study the long-range order in two dimensions where an order parameter is advected by laminar flows such as rotational, shear, and elongational flows. Under these flows, we analyze an ordered state of the $O(N)$ scalar model in the…

Statistical Mechanics · Physics 2024-10-08 Yuki Minami , Hiroyoshi Nakano

The timed position of documents retrieved by learning to rank models can be seen as signals. Signals carry useful information such as drop or rise of documents over time or user behaviors. In this work, we propose to use the logic formalism…

Logic in Computer Science · Computer Science 2021-01-15 Tommaso Dreossi , Giorgio Ballardin , Parth Gupta , Jan Bakus , Yu-Hsiang Lin , Vamsi Salaka

In this comment we discuss the problem of reconciling the linear efficiency of price returns with the long-memory of supply and demand. We present new evidence that shows that efficiency is maintained by a liquidity imbalance that co-moves…

Physics and Society · Physics 2008-12-02 J. Doyne Farmer , Austin Gerig , Fabrizio Lillo , Szabolcs Mike

We investigate several statistical properties of the order book of three liquid stocks of the Paris Bourse. The results are to a large degree independent of the stock studied. The most interesting features concern (i) the statistics of…

Condensed Matter · Physics 2007-05-23 J. -P. Bouchaud , M. Mezard , M. Potters

In many growth processes particles are highly mobile in an active layer at the surface, but are relatively immobile once incorporated in the bulk. We study models in which atoms are allowed to interact, equilibrate, and order on the…

Soft Condensed Matter · Physics 2009-10-31 Mehran Kardar

Previous studies of the stock price response to individual trades focused on single stocks. We empirically investigate the price response of one stock to the trades of other stocks. How large is the impact of one stock on others and vice…

Statistical Finance · Quantitative Finance 2016-03-17 Shanshan Wang , Rudi Schäfer , Thomas Guhr

Order placement tactics play a crucial role in high-frequency trading algorithms and their design is based on understanding the dynamics of the order book. Using high quality high-frequency data and a set of microstructural features, we…

Trading and Market Microstructure · Quantitative Finance 2024-09-30 Timothée Fabre , Vincent Ragel

We investigate present some new statistical properties of order books. We analyse data from the Nasdaq and investigate (a) the statistics of incoming limit order prices, (b) the shape of the average order book, and (c) the typical life time…

Condensed Matter · Physics 2009-11-07 Marc Potters , Jean-Philippe Bouchaud

Recent technological developments have changed the fundamental ways stock markets function, bringing regulatory instances to assess the benefits of these developments. In parallel, the ongoing machine learning revolution and its multiple…

Trading and Market Microstructure · Quantitative Finance 2023-02-09 Johann Lussange , Boris Gutkin

We analyze the sequence of time intervals between consecutive stock trades of thirty companies representing eight sectors of the U. S. economy over a period of four years. For all companies we find that: (i) the probability density function…

Statistical Mechanics · Physics 2009-11-10 Plamen Ch. Ivanov , Ainslie Yuen , Boris Podobnik , Youngki Lee

A phenomenon of the financial log-periodicity is discussed and the characteristics that amplify its predictive potential are elaborated. The principal one is self-similarity that obeys across all the time scales. Furthermore the same…

Physics and Society · Physics 2008-12-02 S. Drozdz , F. Gruemmer , F. Ruf , J. Speth

Modeling the impact of the order flow on asset prices is of primary importance to understand the behavior of financial markets. Part I of this paper reported the remarkable improvements in the description of the price dynamics which can be…

Trading and Market Microstructure · Quantitative Finance 2016-04-27 Damian Eduardo Taranto , Giacomo Bormetti , Jean-Philippe Bouchaud , Fabrizio Lillo , Bence Toth