Applying feedback to stock trading: Exploring a new field of research

Nowadays, feedback control is everywhere and, affects everything. Recently, a novel idea of applying, feedback control to stock trading is proposed. Some, interesting results are published in recent IEEE/IFAC, control conferences. Different from current statistical or, artificial neural network based approaches, this opens a new, research field in analytical strategies for stock trading. In, this paper we follow the scheme of “Simultaneous Long-, Short feedback control” and carry out a new study. In our, study, instead of one feedback gain for both long and short, trading, different trading gains are applied. Based on recent, stock prices over one year (from 2014/3/27 to 2015/3/26), we show our selected simulation results for two stocks. One, is the Apple Incorporated stock. The trend of its price over, the year is increasing. The other is the NASDAQ-100 index, and the trend of its price is decreasing. A number of new, research topics are also proposed in this paper.