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The prediction of a stock market direction may serve as an early recommendation system for short-term investors and as an early financial distress warning system for long-term shareholders. Many stock prediction studies focus on using…

Computational Engineering, Finance, and Science · Computer Science 2017-01-10 Yanshan Wang

A non-trivial probability structure is evident in the binary data extracted from the up/down price movements of very high frequency data such as tick-by-tick data for USD/JPY. In this paper, we analyze the Sony bank USD/JPY rates, ignoring…

Physics and Society · Physics 2009-11-11 Naoya Sazuka

In this paper, we studied the dynamics of the log-return distribution of the Korean Composition Stock Price Index (KOSPI) from 1992 to 2004. Based on the microscopic spin model, we found that while the index during the late 1990s showed a…

Physics and Society · Physics 2008-12-02 Jae-Suk Yang , Seungbyung Chae , Woo-Sung Jung , Hie-Tae Moon

We investigate multifractality in the Korean stock-market index KOSPI. The generalized $q$th order height-height correlation function shows multiscaling properties. There are two scaling regimes with a crossover time around $t_c =40$ min.…

Chaotic Dynamics · Physics 2009-11-10 Jae Woo Lee , Kyuoung Eun Lee , Per Arne Rikvold

The herd behaviors of returns for the won-dollar exchange rate and the KOSPI are analyzed in Korean financial markets. It is shown that the probability distribution $P(R)$ of price returns $R$ for three values of the herding parameter tends…

Statistical Mechanics · Physics 2009-11-10 Kyungsik Kim , Seong-Min Yoon , Yup Kim

The multifractal behavior for tick data of prices is investigated in Korean financial market. Using the rescaled range analysis(R/S analysis), we show the multifractal nature of returns for the won-dollar exchange rate and the KOSPI. We…

Statistical Mechanics · Physics 2008-12-02 Kyungsik Kim , Seong-Min Yoon

We study tick-by-tick financial returns belonging to the FTSE MIB index of the Italian Stock Exchange (Borsa Italiana). We can confirm previously detected non-stationarities. However, scaling properties reported in the previous literature…

Statistical Finance · Quantitative Finance 2017-02-28 Linda Ponta , Mailan Trinh , Marco Raberto , Enrico Scalas , Silvano Cincotti

We consider returns of two Korean stock market indices, KOSPI and KOSDAQ index. Central parts of the probability distribution function of returns are well fitted by the Lorentzian distribution function. However, tail parts of the…

Statistical Mechanics · Physics 2008-12-02 Kyuong Eun Lee , Jae Woo Lee

Using frequency distributions of daily closing price time series of several financial market indexes, we investigate whether the bias away from an equiprobable sequence distribution found in the data, predicted by algorithmic information…

Trading and Market Microstructure · Quantitative Finance 2010-08-17 Hector Zenil , Jean-Paul Delahaye

The analysis of the intraday dynamics of correlations among high-frequency returns is challenging due to the presence of asynchronous trading and market microstructure noise. Both effects may lead to significant data reduction and may…

Trading and Market Microstructure · Quantitative Finance 2019-03-06 Giuseppe Buccheri , Giacomo Bormetti , Fulvio Corsi , Fabrizio Lillo

We study the tick dynamical behavior of the bond futures in Korean Futures Exchange(KOFEX) market. Since the survival probability in the continuous-time random walk theory is applied to the bond futures transaction, the form of the decay…

Statistical Mechanics · Physics 2008-12-02 Kyungsik Kim , Seong-Min Yoon

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

This paper investigates the rank distribution, cumulative probability, and probability density of price returns for the stocks traded in the KSE and the KOSDAQ market. This research demonstrates that the rank distribution is consistent…

Statistical Mechanics · Physics 2008-12-02 Kyungsik Kim , S. -M. Yoon , C. Christopher Lee , K. H. Chang

We investigate the behavior of stocks in daily price-limited stock markets by purposing a quantum spatial-periodic harmonic model. The stock price is presumed to oscillate and damp in a quantum spatial-periodic harmonic oscillator potential…

General Finance · Quantitative Finance 2016-03-01 Xiangyi Meng , Jian-Wei Zhang , Jingjing Xu , Hong Guo

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

Financial markets are a classical example of complex systems as they comprise many interacting stocks. As such, we can obtain a surprisingly good description of their structure by making the rough simplification of binary daily returns.…

Statistical Finance · Quantitative Finance 2014-01-28 Thomas Bury

Most empirical microstructure research assumes that order flow--return parameters are constant, yet these relationships shift substantially across market regimes. Combining adaptive Kalman filtering, Markov-switching regime identification,…

Computational Finance · Quantitative Finance 2026-02-26 Sungwoo Kang

The mesoscopic organization of complex systems, from financial markets to the brain, is an intermediate between the microscopic dynamics of individual units (stocks or neurons, in the mentioned cases), and the macroscopic dynamics of the…

Statistical Finance · Quantitative Finance 2015-08-17 Assaf Almog , Ferry Besamusca , Mel MacMahon , Diego Garlaschelli

The symbolic dynamics technique is well-known for low-dimensional dynamical systems and chaotic maps, and lies at the roots of the thermodynamic formalism of dynamical systems. Here we show that this technique can also be successfully…

Chaotic Dynamics · Physics 2017-08-02 Dan Xu , Christian Beck

We investigated distributions of short term price trends for high frequency stock market data. A number of trends as a function of their lengths was measured. We found that such a distribution does not fit to results following from an…

Physics and Society · Physics 2009-11-13 Paweł Sieczka , Janusz A. Hołyst
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