Study on Applying of Wavelet Transform and Neural Networks in Shenzhen Stock Market
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Abstract
In the first approach, the conventional artificial neural networks(fuzzy perce ption) were used to approximate and predict the Shenzhen composite index. Based on this result, wavelet network were utilized, which is a hybrid of wavelet transform and neural network , to carry the same task. Comparing the prediction errors from both approaches clearly show that wavelet network offers very satisfied results.
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