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Financial markets across all asset classes are known to exhibit trends. These trends have been exploited by traders for decades. Here, we empirically measure when trends revert, based on 30 years of daily futures prices for equity indices,…

Statistical Finance · Quantitative Finance 2021-07-26 Christof Schmidhuber

The methodology presented provides a quantitative way to characterize investor behavior and price dynamics within a particular asset class and time period. The methodology is applied to a data set consisting of over 250,000 data points of…

General Finance · Quantitative Finance 2020-04-22 Gunduz Caginalp , Mark DeSantis

Log-symmetric regression models are particularly useful when the response variable is continuous, strictly positive and asymmetric. In this paper, we proposed a class of log-symmetric regression models in the context of correlated errors.…

Methodology · Statistics 2018-10-22 Helton Saulo , Roberto Vila

This paper studies high-dimensional curve time series with common stochastic trends. A dual functional factor model structure is adopted with a high-dimensional factor model for the observed curve time series and a low-dimensional factor…

Econometrics · Economics 2025-09-16 Degui Li , Yu-Ning Li , Peter C. B. Phillips

This paper describes the Difference-of-Log-Normals (DLN) distribution. A companion paper makes the case that the DLN is a fundamental distribution in nature, and shows how a simple application of the CLT gives rise to the DLN in many…

Methodology · Statistics 2023-02-14 Robert Parham

Symbolic transfer entropy is a powerful non-parametric tool to detect lead-lag between time series. Because a closed expression of the distribution of Transfer Entropy is not known for finite-size samples, statistical testing is often…

Statistical Finance · Quantitative Finance 2022-06-22 Christian Bongiorno , Damien Challet

Log analysis is one of the main techniques engineers use to troubleshoot faults of large-scale software systems. During the past decades, many log analysis approaches have been proposed to detect system anomalies reflected by logs. They…

Software Engineering · Computer Science 2022-09-19 Yongzheng Xie , Hongyu Zhang , Muhammad Ali Babar

During the last decade Levy processes with jumps have received increasing popularity for modelling market behaviour for both derviative pricing and risk management purposes. Chan et al. (2009) introduced the use of empirical likelihood…

Methodology · Statistics 2012-01-16 Steven Kou , Tony Sit , Zhiliang Ying

This article introduces the class of periodic trawl processes, which are continuous-time, infinitely divisible, stationary stochastic processes, that allow for periodicity and flexible forms of their serial correlation, including both…

Methodology · Statistics 2023-07-20 Almut E. D. Veraart

We investigate the impact of big winner stocks on the performance of active and passive investment strategies using a combination of numerical and analytical techniques. Our analysis is based on historical stock price data from 2006 to 2021…

Portfolio Management · Quantitative Finance 2023-10-11 Maxime Markov , Vladimir Markov

We analyze tick data of yen-dollar exchange with a focus on its up and down movement. We show that there exists a rather particular conditional probability structure with such high frequency data. This result provides us with evidence to…

Condensed Matter · Physics 2009-11-07 Toru Ohira , Naoya Sazuka , Kouhei Marumo , Tokiko Shimizu , Misako Takayasu , Hideki Takayasu

Topological Data Analysis (TDA) gives practioners the ability to analyse the global structure of cybersecurity data. We use TDA for anomaly detection in host-based logs collected with the open-source Logging Made Easy (LME) project. We…

Machine Learning · Computer Science 2022-04-28 Thomas Davies

It is shown that the log-likelihood of a hypothesis or model given some data is equivalent to an average of all leave-one-out cross-validation log-scores that can be calculated from all subsets of the data. This relation can be generalized…

Methodology · Statistics 2019-08-26 PierGianLuca Porta Mana

Stylized facts of empirical assets log-returns $Z$ include the existence of (semi) heavy tailed distributions $f_Z(z)$ and a non-linear spectrum of Hurst exponents $\tau(\beta)$. Empirical data considered are daily prices of 10 large…

Physics and Society · Physics 2008-12-02 Stefan Reimann

Technical and fundamental analysis are traditional tools used to analyze individual stocks; however, the finance literature has shown that the price movement of each individual stock correlates heavily with other stocks, especially those…

Computational Engineering, Finance, and Science · Computer Science 2019-03-11 Ran Zhao , Yuntian Deng , Mark Dredze , Arun Verma , David Rosenberg , Amanda Stent

We find a nonlinear dependence between an indicator of the degree of multiscaling of log-price time series of a stock and the average correlation of the stock with respect to the other stocks traded in the same market. This result is a…

Statistical Finance · Quantitative Finance 2019-04-02 R. J. Buonocore , G. Brandi , R. N. Mantegna , T. Di Matteo

We review some methods recently used in the literature to detect the existence of a certain degree of common behavior of stock returns belonging to the same economic sector. Specifically, we discuss methods based on random matrix theory and…

Physics and Society · Physics 2021-08-25 C. Coronnello , M. Tumminello , F. Lillo , S. Micciche` , R. N. Mantegna

Existing surveys on stock market prediction often focus on traditional machine learning methods instead of deep learning methods. This motivates us to provide a structured and comprehensive overview of the research on stock market…

General Finance · Quantitative Finance 2023-02-10 Jinan Zou , Qingying Zhao , Yang Jiao , Haiyao Cao , Yanxi Liu , Qingsen Yan , Ehsan Abbasnejad , Lingqiao Liu , Javen Qinfeng Shi

In order for clinicians to manage disease progression and make effective decisions about drug dosage, treatment regimens or scheduling follow up appointments, it is necessary to be able to identify both short and long-term trends in…

Quantitative Methods · Quantitative Biology 2016-12-06 Norman Poh , Simon Bull , Santosh Tirunagari , Nicholas Cole , Simon de Lusignan

Recently the interest of researchers has shifted from the analysis of synchronous relationships of financial instruments to the analysis of more meaningful asynchronous relationships. Both of those analyses are concentrated only on…

Statistical Finance · Quantitative Finance 2014-06-18 Paweł Fiedor
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