Application Of Neural Network To Technical Analysis Of Stock Market Prediction

Abstract

This paper presents a neural network model for technical analysis of stock market, and its application to a buying and selling timing prediction system for stock index. When the numbers of learning samples are uneven among categories, the neural network with normal learning has the problem that it tries to improve only the prediction accuracy of most dominant category. In this paper, a learning method is proposed for improving prediction accuracy of other categories, controlling the numbers of learning samples by using information about the importance of each category. Experimental simulation using actual price data is carried out to demonstrate the usefulness of the method.