LSTM-Based Stock Price Prediction: Comparison between NSE Bank and S&P 500 Index

Shensong Lyu

2024

Abstract

This paper explores the application of Long Short-Term Memory (LSTM) networks for predicting the closing prices of the NSE Bank Index and the S&P 500 Index. The study was begun by preprocessing historical price data, which involves normalization and sequence creation to prepare it for model training. An LSTM model is then constructed and optimized using Keras Tuner to find the best hyperparameters. The analysis demonstrates that the LSTM model significantly outperforms traditional forecasting methods in terms of prediction accuracy. By evaluating the model's performance through mean squared error and visual comparisons of predicted versus actual prices, that LSTM captures complex patterns in time series data more effectively was founded. This study highlights the LSTM model's superior ability to forecast stock prices, making it a powerful tool for financial predictions. The results suggest that LSTM networks should be increasingly utilized in future market forecasting research to achieve more accurate and reliable predictions, providing valuable insights for investors and market analysts.

Paper Citation

in Harvard Style

Lyu S. (2024). LSTM-Based Stock Price Prediction: Comparison between NSE Bank and S&P 500 Index. In Proceedings of the 1st International Conference on E-commerce and Artificial Intelligence - Volume 1: ECAI; ISBN 978-989-758-726-9, SciTePress, pages 148-153. DOI: 10.5220/0013208200004568

in Bibtex Style

@conference{ecai24,
author={Shensong Lyu},
title={LSTM-Based Stock Price Prediction: Comparison between NSE Bank and S&P 500 Index},
booktitle={Proceedings of the 1st International Conference on E-commerce and Artificial Intelligence - Volume 1: ECAI},
year={2024},
pages={148-153},
publisher={SciTePress},
organization={INSTICC},
doi={10.5220/0013208200004568},
isbn={978-989-758-726-9},
}

in EndNote Style

TY - CONF

JO - Proceedings of the 1st International Conference on E-commerce and Artificial Intelligence - Volume 1: ECAI
TI - LSTM-Based Stock Price Prediction: Comparison between NSE Bank and S&P 500 Index
SN - 978-989-758-726-9
AU - Lyu S.
PY - 2024
SP - 148
EP - 153
DO - 10.5220/0013208200004568
PB - SciTePress