- #1
aricho
- 71
- 0
is there any relation between price and time in the sharemarket/futures markets ect?
Relation between price and time in the sharemarket/futures markets
In summary, there are many different mathematical models that can be used to predict the future share market, but they are all complex and require a lot of understanding. Most of them are used in economics and statistics textbooks.
- #2
lobby
- 1
- 0
Statistical methods (linear and non-linear predictions) can be used to predict the future share market, which i think has been quite carefully written in macro-economic textbooks and economic statistics textbooks. However,...
There are more on this topic but first of all, tell me what you are doing.
There are more on this topic but first of all, tell me what you are doing.
- #3
aricho
- 71
- 0
elliot and Gann
All i know is stuff about Elliot and Gann methods of prediction, and i was wondering if there was any time/price analysis methods (although gann is kind-of-one). What do you know about them? Where can you learn them?
All i know is stuff about Elliot and Gann methods of prediction, and i was wondering if there was any time/price analysis methods (although gann is kind-of-one). What do you know about them? Where can you learn them?
- #4
lobby
- 1
- 0
I am sorry, you questions can be best answered in google groups ABOUT APPLIED COMPUTING's rather than in social sciences or economics forums.
Good luck, and as a final note, google is your friend, she is just a click away.
Good luck, and as a final note, google is your friend, she is just a click away.
- #5
aricho
- 71
- 0
google?
whereabout in google do i find this and is it a forum?
whereabout in google do i find this and is it a forum?
- #6
Emieno
- 97
- 0
Hello, I now run into a similar problem but about stock evolution which is quite hard to me since I am not an economics student and I still haven't been able to grasp the meaning of its equations yet.
Could anyone tell me some new mathematical models that are in use right on this kind of fascinating topic I am presently interested in?
Thanks a lot for your help ?
Could anyone tell me some new mathematical models that are in use right on this kind of fascinating topic I am presently interested in?
Thanks a lot for your help ?
- #7
Smurf
- 442
- 3
Wiki is your friend, kids.
http://en.wikipedia.org/wiki/Economics
(and for the computer illiterate)
http://en.wikipedia.org/wiki/Google
http://en.wikipedia.org/wiki/Economics
(and for the computer illiterate)
http://en.wikipedia.org/wiki/Google
- #8
Emieno
- 97
- 0
?
- #9
Smurf
- 442
- 3
hey, you wanted to learn about economics. So read about it! 
- #10
brudally
- 8
- 0
Hah...:)Emieno said:
Ok, I think you are contradicting the first explanation with your second question,
These things that are to be more understandable should be started with the basic models, i.e the so-called Neo-classical model or well-known Solow Growth Model, especially if income predictions are teh main topic of the discussion. It is not stock evolution as mentioned but evolution of capital stock which I think is pretty different in meaning anyway...Another model you might find yourself interested is Ramsay-Cass-Koopman, all of which are mostly related to investment together with growth theories, and sure there are a lot of applications using dynamic programming, optimizations with GA, datamining algorithms, neural network etc to prove which one is the best model, which plan gives best benefit...and even explain the reasons why there is a big difference between incomes of various people from countries to countries by mathematical models and simulated graphs..
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1. What is the significance of the relationship between price and time in the sharemarket/futures markets?
The relationship between price and time is crucial in the sharemarket/futures markets as it helps determine the profitability of a trade. The price of a share or futures contract is directly impacted by the amount of time left until its expiration. As time passes, the price of the asset can either increase or decrease, depending on market conditions. This relationship is important for traders to understand in order to make informed decisions when buying or selling shares or futures contracts.
2. How does time affect the price of shares/futures?
The time value of an asset refers to the amount of time left until its expiration. As time passes, the time value of an asset decreases, which in turn can affect its price. For example, as a futures contract nears its expiration date, its time value decreases and the price will tend to converge with the spot price of the underlying asset. This is known as the time decay effect. In the sharemarket, as time passes, other factors such as market sentiment, company performance, and economic conditions can also influence the price of shares.
3. Is there a direct correlation between price and time in the sharemarket/futures markets?
There is not always a direct correlation between price and time in the sharemarket/futures markets. Other factors such as supply and demand, market sentiment, and economic conditions can also influence the price of an asset. However, the time value of an asset does have an impact on its price, with the time decay effect being more prominent in the futures market.
4. How can an understanding of the relationship between price and time be used in trading?
Traders can use their understanding of the relationship between price and time to make strategic trading decisions. For example, in the sharemarket, traders can analyze a company's financial performance and economic conditions to predict the future price of its shares. In the futures market, traders can use technical analysis to determine the optimal time to enter or exit a trade based on the time value of the contract. By taking into account the relationship between price and time, traders can make more informed and profitable trades.
5. How can changes in time impact the risk involved in trading shares/futures?
The longer the time horizon of a trade, the higher the potential risk involved. This is because there is more uncertainty about future market conditions the further out in time a trade is. However, changes in time can also present opportunities for traders to manage their risk by adjusting their strategies. For example, in the futures market, traders can close out their positions before expiration to avoid the risk of the time decay effect. In the sharemarket, traders can use stop-loss orders to limit their potential losses if the price of a share moves against their prediction over time.
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