Abstract :
Financial markets consist of agent clusters with different sizes and orientations (buy or sell). When two heterogeneous agent clusters encounter, an exchange occurs; while two homogeneous ones meet, they may merge into a bigger one. We propose a heterogeneous agent interacting herding model, by introducing a parameter, reliability k, thus leading to the asymmetry of the action of trading and incorporating. Numerical calculation shows that the artificial market dynamics changes significantly when varying reliability. For a specific k, the dynamics exhibit some behaviors very close to real markets
