A Survey on Stock Market Prediction using Artificial Intelligence Techniques

Abstract

The stock market is a crucial component of any economy in the world. It is a way for companies to gain capital for its day to day functions. It enables stock brokers to trade securities, bonds and equities in a market. Once a share is listed on the stock market, it can be bought and sold by traders, investors or the general public. Recently, a lot of work has been done to predict the movement of the market. Forecasting the movement of the stock market is gaining momentum among various researchers, investing communities and enthusiasts as it provides better guidance with respect to investing. Predictability is one of the major factors which, the profitability of trading in stock and investing is dependent on. The profits earned by investment and trading in the stock market depend on the predictability of the stock, to a large extent. If any system is developed which can consistently predict the trends of the dynamic stock market, would make the owner of the system wealthy. Moreover, the predicted trends of the market will help the regulators to make corrective measures to stabilize the market. Many expert practitioners and researchers have put forward several models using various technical, fundamental and analytical techniques to give a prediction on the stock market pattern.