Advancements and Applications of Artificial Intelligence in Stock Market Prediction

Lin Zhong

2024

Abstract

The objective of this study is to explore the application of machine learning and deep learning models in stock market prediction, focusing on enhancing accuracy in forecasting complex and dynamic financial data. This is crucial for financial markets due to the volatility and unpredictability inherent in stock price movements. Traditional models such as Linear Regression, Support Vector Machine (SVM), and K-Nearest Neighbors (KNN) were summarized for their effectiveness but found to be limited by their inability to capture non-linear and long-term dependencies. To address these limitations, advanced deep learning methods such as Long Short-Term Memory (LSTM), Convolutional Neural Networks (CNNs), and hybrid models like CNN-LSTM were employed. The results demonstrate that deep learning models significantly outperform traditional approaches by accurately capturing both short-term patterns and long-term dependencies. The study concludes that while AI models show great promise, challenges such as interpretability and the need for adaptability to external factors persist. Future work should focus on incorporating explainable AI techniques and transfer learning to further enhance the robustness of stock market predictions.

Paper Citation

in Harvard Style

Zhong L. (2024). Advancements and Applications of Artificial Intelligence in Stock Market Prediction. In Proceedings of the 2nd International Conference on Data Analysis and Machine Learning - Volume 1: DAML; ISBN 978-989-758-754-2, SciTePress, pages 521-525. DOI: 10.5220/0013527600004619

in Bibtex Style

@conference{daml24,
author={Lin Zhong},
title={Advancements and Applications of Artificial Intelligence in Stock Market Prediction},
booktitle={Proceedings of the 2nd International Conference on Data Analysis and Machine Learning - Volume 1: DAML},
year={2024},
pages={521-525},
publisher={SciTePress},
organization={INSTICC},
doi={10.5220/0013527600004619},
isbn={978-989-758-754-2},
}

in EndNote Style

TY - CONF

JO - Proceedings of the 2nd International Conference on Data Analysis and Machine Learning - Volume 1: DAML
TI - Advancements and Applications of Artificial Intelligence in Stock Market Prediction
SN - 978-989-758-754-2
AU - Zhong L.
PY - 2024
SP - 521
EP - 525
DO - 10.5220/0013527600004619
PB - SciTePress