Application of Machine Learning Algorithms in the Stock Market Analysis

Abstract

With the development of deep learning and machine learning, more new methods have been produced in the economic and financial fields. When talking about machines, one thing that comes to people’s minds is what they can do with machines to solve problems that need machines. The people in the stock market always want to find ways to forecast the stock trend, the pattern of stock, and the stock value. Before the development of machine learning algorithms, stock market predictions could be made in limited ways, and those methods usually did not produce accurate predictions. However, machine learning algorithms changed the phenomenon and offered people novel ways to analyze the stock market. This paper will discuss three research in which authors have implemented machine learning algorithms into stock market analyses. From analyzing the research, this paper tries to investigate the extent of applying machine learning algorithms in the stock market and how the algorithms have helped investors make improvements in stock market analysis.