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We study regenerative stopping problems in which the system starts anew whenever the controller decides to stop and the long-term average cost is to be minimized. Traditional model-based solutions involve estimating the underlying process…

Machine Learning · Computer Science 2021-05-07 Kishor Jothimurugan , Matthew Andrews , Jeongran Lee , Lorenzo Maggi

Weakly supervised text classification methods typically train a deep neural classifier based on pseudo-labels. The quality of pseudo-labels is crucial to final performance but they are inevitably noisy due to their heuristic nature, so…

Computation and Language · Computer Science 2022-10-26 Dheeraj Mekala , Chengyu Dong , Jingbo Shang

We present a reproducible research framework for market microstructure combining a deterministic C++ limit order book (LOB) simulator with stochastic order flow generated by multivariate marked Hawkes processes. The paper derives full…

Trading and Market Microstructure · Quantitative Finance 2025-10-10 Sohaib El Karmi

Hawkes Process has been used to model Limit Order Book (LOB) dynamics in several ways in the literature however the focus has been limited to capturing the inter-event times while the order size is usually assumed to be constant. We propose…

Trading and Market Microstructure · Quantitative Finance 2024-08-15 Konark Jain , Nick Firoozye , Jonathan Kochems , Philip Treleaven

We consider a broker who has to place a large order which consumes a sizable part of average daily trading volume. The broker's aim is thus to minimize execution costs he incurs from the adverse impact of his trades on market prices. By…

Trading and Market Microstructure · Quantitative Finance 2013-10-14 Peter Bank , Antje Fruth

The paper examines the potential of deep learning to support decisions in financial risk management. We develop a deep learning model for predicting whether individual spread traders secure profits from future trades. This task embodies…

Risk Management · Quantitative Finance 2019-11-19 Yaodong Yang , Alisa Kolesnikova , Stefan Lessmann , Tiejun Ma , Ming-Chien Sung , Johnnie E. V. Johnson

This article develops a deep reinforcement learning (Deep-RL) framework for dynamic pricing on managed lanes with multiple access locations and heterogeneity in travelers' value of time, origin, and destination. This framework relaxes…

Systems and Control · Electrical Eng. & Systems 2021-01-28 Venktesh Pandey , Evana Wang , Stephen D. Boyles

This paper studies a limit order book (LOB) model, in which the order dynamics depend on both, the current best available prices and the current volume density functions. For the joint dynamics of the best bid price, the best ask price, and…

Mathematical Finance · Quantitative Finance 2016-05-23 Ulrich Horst , Dörte Kreher

Developing a generative model of realistic order flow in financial markets is a challenging open problem, with numerous applications for market participants. Addressing this, we propose the first end-to-end autoregressive generative model…

Trading and Market Microstructure · Quantitative Finance 2023-09-06 Peer Nagy , Sascha Frey , Silvia Sapora , Kang Li , Anisoara Calinescu , Stefan Zohren , Jakob Foerster

Introducing an algebraic framework for modeling limit order books (LOBs) with tools from physics and stochastic processes, our proposed framework captures the creation and annihilation of orders, order matching, and the time evolution of…

Trading and Market Microstructure · Quantitative Finance 2024-06-10 Johannes Bleher , Michael Bleher

An ability to postpone one's execution without penalty provides an important strategic advantage in high-frequency trading. To elucidate competition between traders one has to formulate to a quantitative theory of formation of the execution…

Trading and Market Microstructure · Quantitative Finance 2014-06-20 Peter Lerner

An accurate model of patient-specific kidney graft survival distributions can help to improve shared-decision making in the treatment and care of patients. In this paper, we propose a deep learning method that directly models the survival…

Machine Learning · Computer Science 2017-05-30 Margaux Luck , Tristan Sylvain , Héloïse Cardinal , Andrea Lodi , Yoshua Bengio

Forecasting the movements of stock prices is one the most challenging problems in financial markets analysis. In this paper, we use Machine Learning (ML) algorithms for the prediction of future price movements using limit order book data.…

Computational Engineering, Finance, and Science · Computer Science 2019-04-09 Paraskevi Nousi , Avraam Tsantekidis , Nikolaos Passalis , Adamantios Ntakaris , Juho Kanniainen , Anastasios Tefas , Moncef Gabbouj , Alexandros Iosifidis

This paper focuses on an extension of the Limit Order Book (LOB) model with general shape introduced by Alfonsi, Fruth and Schied. Here, the additional feature allows a time-varying LOB depth. We solve the optimal execution problem in this…

Trading and Market Microstructure · Quantitative Finance 2012-04-16 Aurélien Alfonsi , José Infante Acevedo

In randomized trials involving multiple treatments, bivariate survival outcomes present significant analytical challenges for making decisions. This paper addresses the problem of deriving optimal individualized treatment rules to maximize…

Machine Learning · Statistics 2026-05-29 Kun Ren , Yifan Cui , Wen Su

Traditional methods for solvability region analysis can only have inner approximations with inconclusive conservatism. Machine learning methods have been proposed to approach the real region. In this letter, we propose a deep active…

Machine Learning · Computer Science 2020-12-23 Yichen Zhang , Jianzhe Liu , Feng Qiu , Tianqi Hong , Rui Yao

In this paper, we introduce a novel reinforcement learning framework for optimal trade execution in a limit order book. We formulate the trade execution problem as a dynamic allocation task whose objective is the optimal placement of market…

Trading and Market Microstructure · Quantitative Finance 2026-01-28 Patrick Cheridito , Moritz Weiss

Market participants regularly send bid and ask quotes to exchange-operated limit order books. This creates an optimization challenge where their potential profit is determined by their quoted price and how often their orders are…

Mathematical Finance · Quantitative Finance 2025-04-16 Chutian Ma , Giacinto Paolo Saggese , Paul Smith

In this paper, we propose a model-free reinforcement learning method to synthesize control policies for motion planning problems with continuous states and actions. The robot is modelled as a labeled discrete-time Markov decision process…

Artificial Intelligence · Computer Science 2020-10-01 Chuanzheng Wang , Yinan Li , Stephen L. Smith , Jun Liu

This paper shows that temporal CNNs accurately predict bitcoin spot price movements from limit order book data. On a 2 second prediction time horizon we achieve 71\% walk-forward accuracy on the popular cryptocurrency exchange coinbase. Our…

Statistical Finance · Quantitative Finance 2020-10-06 Rakshit Jha , Mattijs De Paepe , Samuel Holt , James West , Shaun Ng
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