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In this paper, we propose a model to analyze sentiment of online stock forum and use the information to predict the stock volatility in the Chinese market. We have labeled the sentiment of the online financial posts and make the dataset…

Social and Information Networks · Computer Science 2017-05-09 Yifan Liu , Zengchang Qin , Pengyu Li , Tao Wan

Word embeddings have gained significant attention as learnable representations of semantic relations between words, and have been shown to improve upon the results of traditional word representations. However, little effort has been devoted…

Information Retrieval · Computer Science 2019-05-23 Gloria Feher , Andreas Spitz , Michael Gertz

Identifying meaningful relationships between the price movements of financial assets is a challenging but important problem in a variety of financial applications. However with recent research, particularly those using machine learning and…

Statistical Finance · Quantitative Finance 2022-02-21 Rian Dolphin , Barry Smyth , Ruihai Dong

Automated sentiment analysis and opinion mining is a complex process concerning the extraction of useful subjective information from text. The explosion of user generated content on the Web, especially the fact that millions of users, on a…

Volatility is a natural risk measure in finance as it quantifies the variation of stock prices. A frequently considered problem in mathematical finance is to forecast different estimates of volatility. What makes it promising to use deep…

Statistical Finance · Quantitative Finance 2020-09-14 Bernadett Aradi , Gábor Petneházi , József Gáll

Using machine learning and alternative data for the prediction of financial markets has been a popular topic in recent years. Many financial variables such as stock price, historical volatility and trade volume have already been through…

Computational Finance · Quantitative Finance 2020-09-18 Thomas Dierckx , Jesse Davis , Wim Schoutens

It is a market practice to express market-implied volatilities in some parametric form. The most popular parametrizations are based on or inspired by an underlying stochastic model, like the Heston model (SVI method) or the SABR model (SABR…

Mathematical Finance · Quantitative Finance 2026-01-06 Nicola F. Zaugg , Leonardo Perotti , Lech A. Grzelak

In this study, we predict next-day movements of stock end-of-day implied volatility using random forests. Through an ablation study, we examine the usefulness of different sources of predictors and expose the value of attention and…

Computational Finance · Quantitative Finance 2023-01-03 Thomas Dierckx , Jesse Davis , Wim Schoutens

Word embeddings or distributed representations of words are being used in various applications like machine translation, sentiment analysis, topic identification etc. Quality of word embeddings and performance of their applications depends…

Computation and Language · Computer Science 2020-03-09 Erion Çano , Maurizio Morisio

Recent literature seek to forecast implied volatility derived from equity, index, foreign exchange, and interest rate options using latent factor and parametric frameworks. Motivated by increased public attention borne out of the…

Statistical Finance · Quantitative Finance 2020-09-22 Fearghal Kearney , Han Lin Shang , Lisa Sheenan

This paper uses a new textual data index for predicting stock market data. The index is applied to a large set of news to evaluate the importance of one or more general economic-related keywords appearing in the text. The index assesses the…

General Finance · Quantitative Finance 2023-07-11 A. Fronzetti Colladon , S. Grassi , F. Ravazzolo , F. Violante

Macroeconomic variables are known to significantly impact equity markets, but their predictive power for price fluctuations has been underexplored due to challenges such as infrequency and variability in timing of announcements, changing…

General Finance · Quantitative Finance 2025-03-26 Martina Halousková , Štefan Lyócsa

We introduce a new language representation model in finance called Financial Embedding Analysis of Sentiment (FinEAS). In financial markets, news and investor sentiment are significant drivers of security prices. Thus, leveraging the…

Computation and Language · Computer Science 2021-11-22 Asier Gutiérrez-Fandiño , Miquel Noguer i Alonso , Petter Kolm , Jordi Armengol-Estapé

Stock market volatility forecasting is a task relevant to assessing market risk. We investigate the interaction between news and prices for the one-day-ahead volatility prediction using state-of-the-art deep learning approaches. The…

Statistical Finance · Quantitative Finance 2018-12-31 Marcelo Sardelich , Suresh Manandhar

People use the world wide web heavily to share their experience with entities such as products, services, or travel destinations. Texts that provide online feedback in the form of reviews and comments are essential to make consumer…

Computation and Language · Computer Science 2025-02-07 Ali Erkan , Tunga Gungor

Word embeddings have been widely used in sentiment classification because of their efficacy for semantic representations of words. Given reviews from different domains, some existing methods for word embeddings exploit sentiment…

Computation and Language · Computer Science 2018-05-11 Bei Shi , Zihao Fu , Lidong Bing , Wai Lam

Word embeddings are computed by a class of techniques within natural language processing (NLP), that create continuous vector representations of words in a language from a large text corpus. The stochastic nature of the training process of…

Computation and Language · Computer Science 2020-08-03 Lucas Rettenmeier

In this study, we integrate sentiment analysis within a financial framework by leveraging FinBERT, a fine-tuned BERT model specialized for financial text, to construct an advanced deep learning model based on Long Short-Term Memory (LSTM)…

Statistical Finance · Quantitative Finance 2025-06-12 Tingsong Jiang , Qingyun Zeng

Traditional sentiment construction in finance relies heavily on the dictionary-based approach, with a few exceptions using simple machine learning techniques such as Naive Bayes classifier. While the current literature has not yet invoked…

Statistical Finance · Quantitative Finance 2022-07-08 Joshua Zoen Git Hiew , Xin Huang , Hao Mou , Duan Li , Qi Wu , Yabo Xu

We develop a new stock market index that captures the chaos existing in the market by measuring the mutual changes of asset prices. This new index relies on a tensor-based embedding of the stock market information, which in turn frees it…

Statistical Finance · Quantitative Finance 2021-06-09 Masoud Ataei , Shengyuan Chen , Zijiang Yang , M. Reza Peyghami