• DocumentCode
    2966353
  • Title

    An Empirical Analysis on Forecasting Stock Price: By Maximum Lyapunov Exponent and Fractal Dimension

  • Author

    Yang, Hanchao

  • Author_Institution
    Sch. of Syst. & Enterprises, Stevens Inst. of Technol., Hoboken, NJ, USA
  • fYear
    2011
  • fDate
    12-14 Aug. 2011
  • Firstpage
    1
  • Lastpage
    3
  • Abstract
    In this empirical analysis of Shanghai Composite Index, we focus on the relationship between maximum Lyapunov exponent, fractal dimension and stock price. The former one is to measure the chaos degree of the market. And under relatively weak chaos condition, fractal dimension, which is defined by Hurst exponent, is found to be an ideal prediction of stock price. Both of maximum Lyapunov exponent and fractal dimension show their potential in risk management and detecting financial bubbles.
  • Keywords
    chaos; forecasting theory; fractals; pricing; risk management; stock markets; Hurst exponent; Shanghai composite index; empirical analysis; financial bubble detection; fractal dimension; market chaos degree; maximum Lyapunov exponent; risk management; stock price forecasting; Chaos; Correlation; Delay; Fractals; Presses; Risk management; Stock markets;
  • fLanguage
    English
  • Publisher
    ieee
  • Conference_Titel
    Management and Service Science (MASS), 2011 International Conference on
  • Conference_Location
    Wuhan
  • Print_ISBN
    978-1-4244-6579-8
  • Type

    conf

  • DOI
    10.1109/ICMSS.2011.5998350
  • Filename
    5998350