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

Victor Skuratov, Konstantin Kuzmin, Igor Nelin, Mikhail Sedankin

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.


Keywords


pattern recognition; convolutional neural network; stock market; technical analysis patterns; technical analysis figures; pattern detector

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References


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DOI: http://dx.doi.org/10.21303/2461-4262.2019.001055

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Copyright (c) 2019 Victor Skuratov, Konstantin Kuzmin, Igor Nelin, Mikhail Sedankin

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ISSN 2461-4262 (Online), ISSN 2461-4254 (Print)