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A Neural Network and Web-Based Decision Support System for Forex Forecasting and Trading

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Data Mining and Knowledge Management (CASDMKM 2004)

Part of the book series: Lecture Notes in Computer Science ((LNAI,volume 3327))

Abstract

This study presents a neural network & web-based decision support system (DSS) for foreign exchange (forex) forecasting and trading decision, which is adaptable to the needs of financial organizations and individual investors. In this study, we integrate the back-propagation neural network (BPNN)- based forex rolling forecasting system to accurately predict the change in direction of daily exchange rates, and the Web-based forex trading decision support system to obtain forecasting data and provide some investment decision suggestions for financial practitioners. This research reveals the structure of the DSS by the description of an integrated framework, and meantime we find that the DSS is integrated, user-oriented by its implementation, and practical applications reveal that this DSS demonstrates very high forecasting accuracy and its trading recommendations are reliable.

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Author information

Authors and Affiliations

  1. Department of Management Sciences, City University of Hong Kong, Tat Chee Avenue, Kowloon, Hong Kong

    K. K. Lai

  2. Institute of Systems Science, Academy of Mathematics and Systems Sciences, Chinese Academy of Sciences, Beijing, 100080, China

    Lean Yu & Shouyang Wang

  3. School of Management, Graduate School of Chinese Academy of Sciences, Chinese Academy of Sciences, Beijing, 100039, China

    Lean Yu

  4. Institute of Policy and Planning Sciences, University of Tsukuba, Tsukuba, Ibaraki, 305-8573, Japan

    Shouyang Wang

Authors
  1. K. K. Lai
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  2. Lean Yu
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  3. Shouyang Wang
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Editor information

Editors and Affiliations

  1. Research Center on Fictitious Economy and Data Science, Chinese Academy of Sciences, Beijing 100080, China; College of Information Science and Technology, University of Nebraska at Omaha, 68182, Omaha, NE, USA

    Yong Shi

  2. Institute of Policy & Management, Chinese Academy of Sciences, P.O. Box, 100080, Beijing, P.R. China

    Weixuan Xu

  3. College of Information Science and Technology, University of Nebraska at Omaha, 68182, NE, USA

    Zhengxin Chen

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© 2004 Springer-Verlag Berlin Heidelberg

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Lai, K.K., Yu, L., Wang, S. (2004). A Neural Network and Web-Based Decision Support System for Forex Forecasting and Trading. In: Shi, Y., Xu, W., Chen, Z. (eds) Data Mining and Knowledge Management. CASDMKM 2004. Lecture Notes in Computer Science(), vol 3327. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-540-30537-8_27

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  • DOI: https://doi.org/10.1007/978-3-540-30537-8_27

  • Publisher Name: Springer, Berlin, Heidelberg

  • Print ISBN: 978-3-540-23987-1

  • Online ISBN: 978-3-540-30537-8

  • eBook Packages: Computer ScienceComputer Science (R0)

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