Forecasting — where computational intelligence meets the stock market

Forecasting is an important activity in finance. Traditionally, forecasting has been done with in-depth knowledge in finance and the market. Advances in computational intelligence have created opportunities that were never there before. Computational finance techniques, machine learning in particular, can dramatically enhance our ability to forecast. They can help us to forecast ahead of our competitors and pick out scarce opportunities. This paper explains some of the opportunities offered by computational intelligence and some of the achievements so far. It also explains the underlying technologies and explores the research horizon.

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