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In this paper, the estimation of the Integrated Covariance matrix from high-frequency data, for high dimensional stock price process, is considered. The Hayashi-Yoshida covolatility estimator is an improvement over Realized covolatility for…

Statistical Finance · Quantitative Finance 2022-01-04 Arnab Chakrabarti , Rituparna Sen

Substantial efforts have been devoted to the investigation of spatiotemporal correlations for improving traffic speed prediction accuracy. However, existing works typically model the correlations based solely on the observed traffic state…

Machine Learning · Computer Science 2022-05-06 Yidan Sun , Guiyuan Jiang , Siew-Kei Lam , Peilan He , Fangxin Ning

Using the correlation matrix formalism we study the temporal aspects of the Warsaw Stock Market evolution as represented by the WIG20 index. The high frequency (1 min) WIG20 recordings over the time period between January 2001 and October…

Data Analysis, Statistics and Probability · Physics 2008-12-02 R. Rak , S. Drozdz , J. Kwapien , P. Oswiecimka

We introduce a numerical algorithm to stochastically sample the dual fermion perturbation series around the dynamical mean field theory, generating all topologies of two-particle interaction vertices. We show results in the weak and strong…

Strongly Correlated Electrons · Physics 2016-07-07 Sergei Iskakov , Andrey E. Antipov , Emanuel Gull

High Frequency Trading (HFT) represents an ever growing proportion of all financial transactions as most markets have now switched to electronic order book systems. The main goal of the paper is to propose continuous time equations which…

Trading and Market Microstructure · Quantitative Finance 2013-12-10 Rene Carmona , Kevin Webster

We present a novel approach to describing the microstructure of high frequency trading using two key elements. First we introduce a new notion of informed trader which we starkly contrast to current informed trader models. We describe the…

Trading and Market Microstructure · Quantitative Finance 2017-09-08 Rene Carmona , Kevin Webster

In this paper, we develop a novel high-dimensional coefficient estimation procedure based on high-frequency data. Unlike usual high-dimensional regression procedures such as LASSO, we additionally handle the heavy-tailedness of…

Methodology · Statistics 2025-10-22 Minseok Shin , Donggyu Kim

Managing high-frequency data in a limit order book (LOB) is a complex task that often exceeds the capabilities of conventional time-series forecasting models. Accurately predicting the entire multi-level LOB, beyond just the mid-price, is…

Computational Finance · Quantitative Finance 2024-11-05 Jiwon Jung , Kiseop Lee

We propose a model that forecasts market correlation structure from link- and node-based financial network features using machine learning. For such, market structure is modeled as a dynamic asset network by quantifying time-dependent…

Computational Finance · Quantitative Finance 2021-10-25 Douglas Castilho , Tharsis T. P. Souza , Soong Moon Kang , João Gama , André C. P. L. F. de Carvalho

Standard methods and theories in finance can be ill-equipped to capture highly non-linear interactions in financial prediction problems based on large-scale datasets, with deep learning offering a way to gain insights into correlations in…

Computational Finance · Quantitative Finance 2020-04-22 Ben Moews , Gbenga Ibikunle

In multivariate time series systems, key insights can be obtained by discovering lead-lag relationships inherent in the data, which refer to the dependence between two time series shifted in time relative to one another, and which can be…

Machine Learning · Statistics 2023-09-20 Yichi Zhang , Mihai Cucuringu , Alexander Y. Shestopaloff , Stefan Zohren

We propose a new cross-correlation method that can recognize independent realizations of the same type of stochastic processes and can be used as a new kind of pattern recognition tool in biometrics, sensing, forensic, security and image…

Data Analysis, Statistics and Probability · Physics 2007-05-23 Jong U. Kim , Laszlo B. Kish

The purpose of this study is to estimate the correlation structure between multiple assets using financial text analysis. In recent years, as the background of elevating inflation in the global economy and monetary policy tightening by…

Computation and Language · Computer Science 2024-05-24 Yasuhiro Nakayama , Tomochika Sawaki , Issei Furuya , Shunsuke Tamura

Motivated by the importance ascribed to correlations in random matrices used to model phenomena in various scientific disciplines, we report how algebraic correlations between matrix elements affect the eigenvalue statistics and spectral…

Statistical Mechanics · Physics 2026-04-27 Abbas Ali Saberi , Roderich Moessner

We consider a variant of regression problem, where the correspondence between input and output data is not available. Such shuffled data is commonly observed in many real world problems. Taking flow cytometry as an example, the measuring…

Machine Learning · Computer Science 2021-02-12 Yujia Xie , Yixiu Mao , Simiao Zuo , Hongteng Xu , Xiaojing Ye , Tuo Zhao , Hongyuan Zha

This paper develops new mathematical techniques to identify temporal shifts among a collection of US equities partitioned into a new and more detailed set of market sectors. Although conceptually related, our three analyses reveal distinct…

Statistical Finance · Quantitative Finance 2024-07-11 Nick James , Max Menzies

Stock market prediction is one of the most attractive research topic since the successful prediction on the market's future movement leads to significant profit. Traditional short term stock market predictions are usually based on the…

Computational Finance · Quantitative Finance 2018-11-16 Huicheng Liu

The presence of significant cross-correlations between the synchronous time evolution of a pair of equity returns is a well-known empirical fact. The Pearson correlation is commonly used to indicate the level of similarity in the price…

Statistical Finance · Quantitative Finance 2014-02-07 Dror Y. Kenett , Xuqing Huang , Irena Vodenska , Shlomo Havlin , H. Eugene Stanley

We propose tabular two-dimensional correlation analysis for extracting features from multifaceted characterization data, essential for understanding material properties. This method visualizes similarities and phase lags in structural…

In multiple correspondence analysis, both individuals (observations) and categories can be represented in a biplot that jointly depicts the relationships across categories or individuals, as well as the associations between them. Additional…

Methodology · Statistics 2019-01-10 Mariko Takagishi , Michel van de Velden