Study on Forecasting the Stock Market Trend Based on Stochastic Analysis Method

Deju Zhang, Xiaomin Zhang

Abstract


To counter strong features of disorder and randomness of stock market fluctuation in China, we introduce a Markov process model for the stock market trend forecasting, which is a useful complement for an existing technical analysis. Meanwhile, we expound on the related properties of Markov process and establish Markov chain mathematical model of the stock market trend forecasting, furthermore, give an example of model application, finally, further investigate application of the model.

Full Text: PDF DOI: 10.5539/ijbm.v4n6p163

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This work is licensed under a Creative Commons Attribution 3.0 License.

International Journal of Business and Management   ISSN 1833-3850 (Print)   ISSN 1833-8119 (Online)

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