• DocumentCode
    737277
  • Title

    Market analysis and trading strategies with Bayesian networks

  • Author

    Chang, K C ; Tian, Zhi

  • Author_Institution
    George Mason University, Dept. of Systems Engineering and Operations Research, Fairfax, VA, U.S.A.
  • fYear
    2015
  • fDate
    6-9 July 2015
  • Firstpage
    1922
  • Lastpage
    1929
  • Abstract
    This paper examines the application of data fusion and probabilistic reasoning for investment decision and its performance evaluation. Specifically, Bayesian networks are used to model the qualitative and quantitative relationships between various factors that affect the dynamics of equity index (S&P 500) for predictive analysis. The resulting assessments are applied to trading decisions utilizing derivatives such as S&P futures and options. The simulated trading performance results demonstrate the effectiveness of the Bayesian network approach.
  • Keywords
    Bayes methods; Data models; Indexes; Investment; Market research; Portfolios; Predictive models; Bayesian networks; S&P futures; financial markets; futures options trading; return and risk analysis;
  • fLanguage
    English
  • Publisher
    ieee
  • Conference_Titel
    Information Fusion (Fusion), 2015 18th International Conference on
  • Conference_Location
    Washington, DC, USA
  • Type

    conf

  • Filename
    7266790