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Literature Review and Preliminaries

  • Frank Xing
  • Erik Cambria
  • Roy Welsch
Chapter
Part of the Socio-Affective Computing book series (SAC, volume 9)

Abstract

This chapter reviews the text mining approaches employed and the problem formalization of stock market prediction by previous studies. A fine-grained categorization of text source is provided. The basic concepts and preliminaries of asset returns and portfolio optimization techniques are given in this chapter as well. The Markowitz model and the Black-Litterman model are the roots that connect financial variables with semantic modeling and sentiment analysis.

Keywords

Stock market prediction Text mining Trading strategies The Markowitz model The Black-Litterman model 

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Copyright information

© Springer Nature Switzerland AG 2019

Authors and Affiliations

  • Frank Xing
    • 1
  • Erik Cambria
    • 1
  • Roy Welsch
    • 2
  1. 1.School of Computer Science and EngineeringNanyang Technological UniversitySingaporeSingapore
  2. 2.Sloan School of ManagementMassachusetts Institute of TechnologyCambridgeUSA

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