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For different factors/reasons, ranging from inherent characteristics and features providing decentralization, enhanced privacy, ease of transactions, etc., to implied external hardships in enforcing regulations, contradictions in data…

Cryptography and Security · Computer Science 2025-01-03 Dinesh Srivasthav P , Manoj Apte

To quantify the complexity of a system, entropy-based methods have received considerable critical attentions in real-world data analysis. Among numerous entropy algorithms, amplitude-based formulas, represented by Sample Entropy, suffer…

Signal Processing · Electrical Eng. & Systems 2022-01-12 Hongjian Xiao , Danilo P. Mandic

Mounting empirical evidence suggests that the observed extreme prices within a trading period can provide valuable information about the volatility of the process within that period. In this paper we define a class of stochastic volatility…

Statistical Finance · Quantitative Finance 2009-01-12 Abel Rodriguez , Henryk Gzyl , German Molina , Enrique ter Horst

This paper suggests that business cycles may be a manifestation of coupled real economy and stock market dynamics and describes a mechanism that can generate economic fluctuations consistent with observed business cycles. To this end, we…

General Finance · Quantitative Finance 2019-09-27 Dimitri Kroujiline , Maxim Gusev , Dmitry Ushanov , Sergey V. Sharov , Boris Govorkov

The first 100 days of Donald Trump second presidential term (January 20th - April 30th, 2025) featured policy actions with potential market repercussions, constituting a well-suited case study of a concentrated policy scenario. Here, we…

In this dissertation two simple models of stock exchange are developed and simulated numerically. The first is characterized by centralized trading with a market maker. Unfortunately, this model is unable to generate realistic market…

Statistical Mechanics · Physics 2008-12-02 Hendrik J. Blok

Given an event log as a collection of recorded real-world process traces, process mining aims to automatically construct a process model that is both simple and provides a useful explanation of the traces. Conformance checking techniques…

Artificial Intelligence · Computer Science 2020-08-27 Artem Polyvyanyy , Alistair Moffat , Luciano García-Bañuelos

Many recent models of trade dynamics use the simple idea of wealth exchanges among economic agents in order to obtain a stable or equilibrium distribution of wealth among the agents. In particular, a plain analogy compares the wealth in a…

General Finance · Quantitative Finance 2015-05-30 J. R. Iglesias , R. M. C. de Almeida

We present a probabilistic model of an intrusion in a renewal process. Given a process and a sequence of events, an intrusion is a subsequence of events that is not produced by the process. Applications of the model are, for example, online…

Artificial Intelligence · Computer Science 2018-05-29 David Tolpin

In finance, the weak form of the Efficient Market Hypothesis asserts that historic stock price and volume data cannot inform predictions of future prices. In this paper we show that, to the contrary, future intra-day stock prices could be…

Trading and Market Microstructure · Quantitative Finance 2019-08-23 David Byrd , Tucker Hybinette Balch

Shannon's information entropy measures of the uncertainty of an event's outcome. If learning about a system reflects a decrease in uncertainty, then a plausible intuition is that learning should be accompanied by a decrease in the entropy…

Robotics · Computer Science 2015-02-20 Paul E. Smaldino

Maximizing revenue for grid-scale battery energy storage systems in continuous intraday electricity markets requires strategies that are able to seize trading opportunities as soon as new information arrives. This paper introduces and…

Trading and Market Microstructure · Quantitative Finance 2025-08-27 David Schaurecker , David Wozabal , Nils Löhndorf , Thorsten Staake

Robustness is a basic property of any control system. In the context of linear output regulation, it was proved that embedding an internal model of the exogenous signals is necessary and sufficient to achieve tracking of the desired…

Systems and Control · Electrical Eng. & Systems 2021-04-23 Michelangelo Bin , Daniele Astolfi , Lorenzo Marconi

We develop a theoretical trading conditioning model subject to price volatility and return information in terms of market psychological behavior, based on analytical transaction volume-price probability wave distributions in which we use…

Trading and Market Microstructure · Quantitative Finance 2010-02-09 Leilei Shi , Yiwen Wang , Ding Chen , Liyan Han , Yan Piao , Chengling Gou

Observational entropy provides a general notion of quantum entropy that appropriately interpolates between Boltzmann's and Gibbs' entropies, and has recently been argued to provide a useful measure of out-of-equilibrium thermodynamic…

Quantum Physics · Physics 2023-05-09 Francesco Buscemi , Joseph Schindler , Dominik Šafránek

Entropy measures in their various incarnations play an important role in the study of stochastic time series providing important insights into both the correlative and the causative structure of the stochastic relationships between the…

Statistical Finance · Quantitative Finance 2018-11-22 Michael S. Harre

We present a simple comparative framework for testing and developing uncertainty modeling in uncertain marching cubes implementations. The selection of a model to represent the probability distribution of uncertain values directly…

Human-Computer Interaction · Computer Science 2024-09-16 Robert Sisneros , Tushar M. Athawale , David Pugmire , Kenneth Moreland

The thermodynamic definition of entropy can be extended to nonequilibrium systems based on its relation to information. To apply this definition in practice requires access to the physical system's microstates, which may be prohibitively…

Statistical Mechanics · Physics 2020-08-21 Gil Ariel , Haim Diamant

The ability to identify stock market trends has obvious advantages for investors. Buying stock on an upward trend (as well as selling it in case of downward movement) results in profit. Accordingly, the start and end-points of the trend are…

Computational Finance · Quantitative Finance 2021-04-20 Ekaterina Zolotareva

Chater and MacKay [CM] derived an entropy function of state for exchange economies satisfying a list of axioms, and showed that a change of state of a system of such economies is possible if and only if their total entropy does not…

Mathematical Physics · Physics 2025-10-03 Robert S MacKay
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