Modelling A.I. in Economics

Should You Buy Now or Wait? LON:VLS Stock Forecast

Abstract

We evaluate VELOCYS PLC prediction models with Supervised Machine Learning (ML) and Independent T-Test1,2,3,4 and conclude that the LON:VLS stock is predictable in the short/long term. According to price forecasts for (n+16 weeks) period: The dominant strategy among neural network is to Hold LON:VLS stock.


Keywords: LON:VLS, VELOCYS PLC, stock forecast, machine learning based prediction, risk rating, buy-sell behaviour, stock analysis, target price analysis, options and futures.

Key Points

  1. Nash Equilibria
  2. Why do we need predictive models?
  3. Can neural networks predict stock market?

LON:VLS Target Price Prediction Modeling Methodology

We consider VELOCYS PLC Stock Decision Process with Independent T-Test where A is the set of discrete actions of LON:VLS stock holders, F is the set of discrete states, P : S × F × S → R is the transition probability distribution, R : S × F → R is the reaction function, and γ ∈ [0, 1] is a move factor for expectation.1,2,3,4


F(Independent T-Test)5,6,7= p a 1 p a 2 p 1 n p j 1 p j 2 p j n p k 1 p k 2 p k n p n 1 p n 2 p n n X R(Supervised Machine Learning (ML)) X S(n):→ (n+16 weeks) R = 1 0 0 0 1 0 0 0 1

n:Time series to forecast

p:Price signals of LON:VLS stock

j:Nash equilibria

k:Dominated move

a:Best response for target price

 

For further technical information as per how our model work we invite you to visit the article below: 

How do AC Investment Research machine learning (predictive) algorithms actually work?

LON:VLS Stock Forecast (Buy or Sell) for (n+16 weeks)

Sample Set: Neural Network
Stock/Index: LON:VLS VELOCYS PLC
Time series to forecast n: 08 Sep 2022 for (n+16 weeks)

According to price forecasts for (n+16 weeks) period: The dominant strategy among neural network is to Hold LON:VLS stock.

X axis: *Likelihood% (The higher the percentage value, the more likely the event will occur.)

Y axis: *Potential Impact% (The higher the percentage value, the more likely the price will deviate.)

Z axis (Yellow to Green): *Technical Analysis%


Conclusions

VELOCYS PLC assigned short-term B2 & long-term Ba3 forecasted stock rating. We evaluate the prediction models Supervised Machine Learning (ML) with Independent T-Test1,2,3,4 and conclude that the LON:VLS stock is predictable in the short/long term. According to price forecasts for (n+16 weeks) period: The dominant strategy among neural network is to Hold LON:VLS stock.

Financial State Forecast for LON:VLS Stock Options & Futures

Rating Short-Term Long-Term Senior
Outlook*B2Ba3
Operational Risk 7165
Market Risk6343
Technical Analysis8568
Fundamental Analysis3476
Risk Unsystematic3155

Prediction Confidence Score

Trust metric by Neural Network: 83 out of 100 with 529 signals.

References

  1. Dudik M, Erhan D, Langford J, Li L. 2014. Doubly robust policy evaluation and optimization. Stat. Sci. 29:485–511
  2. Hastie T, Tibshirani R, Tibshirani RJ. 2017. Extended comparisons of best subset selection, forward stepwise selection, and the lasso. arXiv:1707.08692 [stat.ME]
  3. Efron B, Hastie T, Johnstone I, Tibshirani R. 2004. Least angle regression. Ann. Stat. 32:407–99
  4. Bennett J, Lanning S. 2007. The Netflix prize. In Proceedings of KDD Cup and Workshop 2007, p. 35. New York: ACM
  5. Efron B, Hastie T, Johnstone I, Tibshirani R. 2004. Least angle regression. Ann. Stat. 32:407–99
  6. V. Borkar. An actor-critic algorithm for constrained Markov decision processes. Systems & Control Letters, 54(3):207–213, 2005.
  7. Alexander, J. C. Jr. (1995), "Refining the degree of earnings surprise: A comparison of statistical and analysts' forecasts," Financial Review, 30, 469–506.
Frequently Asked QuestionsQ: What is the prediction methodology for LON:VLS stock?
A: LON:VLS stock prediction methodology: We evaluate the prediction models Supervised Machine Learning (ML) and Independent T-Test
Q: Is LON:VLS stock a buy or sell?
A: The dominant strategy among neural network is to Hold LON:VLS Stock.
Q: Is VELOCYS PLC stock a good investment?
A: The consensus rating for VELOCYS PLC is Hold and assigned short-term B2 & long-term Ba3 forecasted stock rating.
Q: What is the consensus rating of LON:VLS stock?
A: The consensus rating for LON:VLS is Hold.
Q: What is the prediction period for LON:VLS stock?
A: The prediction period for LON:VLS is (n+16 weeks)

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