APPLICATION OF A CONVOLUTIONAL NEURAL NETWORK TO CREATE A DETECTOR OF TECHNICAL ANALYSIS FIGURES ON EXCHANGE QUOTES CHARTS

  • Victor Skuratov All-Russian Research Institute of Radio Engineering, Russian Federation
  • Konstantin Kuzmin University of Russian Innovation Education, Russian Federation
  • Igor Nelin Moscow Aviation Institute, Russian Federation
  • Mikhail Sedankin State Research Center – Burnasyan Federal Medical Biophysical Center of Federal Medical Biological Agency, Russian Federation
Keywords: pattern recognition, convolutional neural network, stock market, technical analysis patterns, technical analysis figures, pattern detector

Abstract

Today, the use of artificial intelligence based on neural networks is the most effective approach to solving image recognition problems. The possibility of using a convolutional neural network to create a pattern detector for technical analysis based on stock chart data has been investigated. The found figures of technical analysis can serve as the basis for making trading decisions in the financial markets. In the conditions of an ever-growing array of various information, the use of visual data reading tools is becoming more and more expedient, as it allows to speed up the process of searching and processing the necessary information for decision-makers. The modeling process, analysis, and results of applying the pattern detector of technical analysis are presented. The general approach to the construction and learning of a convolutional neural network is also described, and the process of preliminary processing of input data is described. Using the created detector allows to automate the search for patterns and improve the accuracy of making trading decisions. After finding the patterns, it becomes possible to obtain additional stock statistics for each type of figure: the context in front of the figures, the percentage of successfully completed figures, volume analysis, etc. These technical solutions can be used as expert and trading systems in the stock market, as well as integrated into existing ones.

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Author Biographies

Konstantin Kuzmin, University of Russian Innovation Education

Department of "Mathematical and instrumental methods in economics"

Igor Nelin, Moscow Aviation Institute

Department “Radiolocation, radio navigation and on-board radio electronic equipmentâ€

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Published
2019-12-02
How to Cite
Skuratov, V., Kuzmin, K., Nelin, I., & Sedankin, M. (2019). APPLICATION OF A CONVOLUTIONAL NEURAL NETWORK TO CREATE A DETECTOR OF TECHNICAL ANALYSIS FIGURES ON EXCHANGE QUOTES CHARTS. EUREKA: Physics and Engineering, (6), 50-56. https://doi.org/10.21303/2461-4262.2019.001055
Section
Computer Science