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Minority game data mining for stock market predictions

  • Ying Ma
  • , Guanyi Li
  • , Yingsai Dong
  • , Zengchang Qin*
  • *Corresponding author for this work
  • Beihang University

Research output: Chapter in Book/Report/Conference proceedingConference contributionpeer-review

Abstract

The Minority Game (MG) is a simple model for understanding collective behavior of agents in an idealized situation for a finite resource. It has been regarded as an interesting complex dynamical disordered system from a statistical mechanics point of view. In previous work, we have investigated the problem of learning the agent behaviors in the minority game by assuming the existence of one "intelligent agent" who can learn from other agent behaviors. In this paper, we propose a framework called Minority Game Data Mining (MGDM), that assumes the collective data are generated from combining the behaviors of variant groups of agents following the minority games. We then apply this framework to time-series data analysis in the real-world. We test on a few stocks from the Chinese market and the US Dollar-RMB exchange rate. The experimental results suggest that the winning rate of the new model is statistically better than a random walk.

Original languageEnglish
Title of host publicationAgents and Data Mining Interaction - 6th International Workshop on Agents and Data Mining Interaction, ADMI 2010, Revised Selected Papers
Pages178-189
Number of pages12
DOIs
StatePublished - 2010
Event6th International Workshop on Agents and Data Mining Interaction, ADMI 2010 - Toronto, ON, Canada
Duration: 11 May 201011 May 2010

Publication series

NameLecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics)
Volume5980 LNAI
ISSN (Print)0302-9743
ISSN (Electronic)1611-3349

Conference

Conference6th International Workshop on Agents and Data Mining Interaction, ADMI 2010
Country/TerritoryCanada
CityToronto, ON
Period11/05/1011/05/10

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