Modified TSK fuzzy system in stock price forecasting

Xiangdong Liu*

*Corresponding author for this work

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

4 Citations (Scopus)

Abstract

This paper proposes a modified version of TSK fuzzy system, called C - ascending TSK fuzzy system, to model stock price. The C - ascending TSK fuzzy system is obtained by a simple modification of the weighted membership function in TSK fuzzy system, where the recent errors are penalized more heavily than the distant errors. This procedure is based on the prior knowledge that in the non-stationary financial time series the dependency between input variables and output variables gradually changes over the time, especially, the recent past data could provide more important information than the distant past data. In the experiment, C - ascending TSK fuzzy system is tested using the Standard&Poor 500 sock index(CME-SP). It is shown that theC - ascending TSK fuzzy system with the actually ordered sample data consistently forecast is better than the standard TSK fuzzy system.

Original languageEnglish
Title of host publicationProceedings - 2010 2nd IEEE International Conference on Information and Financial Engineering, ICIFE 2010
Pages621-624
Number of pages4
DOIs
Publication statusPublished - 2010
Externally publishedYes
Event2010 2nd IEEE International Conference on Information and Financial Engineering, ICIFE 2010 - Chongqing, China
Duration: 17 Sept 201019 Sept 2010

Publication series

NameProceedings - 2010 2nd IEEE International Conference on Information and Financial Engineering, ICIFE 2010

Conference

Conference2010 2nd IEEE International Conference on Information and Financial Engineering, ICIFE 2010
Country/TerritoryChina
CityChongqing
Period17/09/1019/09/10

Keywords

  • Stock price forcasting
  • TSK fuzzy system

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