Multiobjective optimization of technical market indicators

This paper deals with the optimization of technical indicators for stock market investment. Price prediction is a problem of great complexity and usually some technical indicators are used to predict the markets trends. The main difficulty in the use of technical indicators lies in deciding the para...

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Detalles Bibliográficos
Autores: Bodas, Diego, Fernández, Pablo, Hidalgo, José Ignacio, Soltero, Francisco, Risco, José Luis
Tipo de recurso: artículo
Fecha de publicación:2009
País:España
Institución:Universidad Rey Juan Carlos
Repositorio:BURJC-Digital. Repositorio Institucional de la Universidad Rey Juan Carlos
OAI Identifier:oai:burjcdigital.urjc.es:10115/29326
Acceso en línea:https://hdl.handle.net/10115/29326
Access Level:acceso embargado
Palabra clave:Algoritmos evolutivos
indicadores bursátiles
optimización
Descripción
Sumario:This paper deals with the optimization of technical indicators for stock market investment. Price prediction is a problem of great complexity and usually some technical indicators are used to predict the markets trends. The main difficulty in the use of technical indicators lies in deciding the parameters values. We proposed the use of Evolutionary Algorithms (EAs) to obtain the best parameter values belonging to a collection of indicators that will help in the buying and selling of shares. This paper extends the work presented on previous works by including additional indicators and applying them to more complex problems. In this way the Moving Averages Convergence-Divergence (MACD) indicator and the Relative Strength Index (RSI) oscillator have been selected to obtain the buying/selling signals. The experimental results indicate that our EAs offer a solution to the problem obtaining results that improve those obtained through technical indicators with their standard parameters.