Modelling A.I. in Economics

LON:JET Target Price Forecast

Predicting stock market prices is crucial subject at the present economy. Hence, the tendency of researchers towards new opportunities to predict the stock market has been increased. Researchers have found that, historical stock data and Search Engine Queries, social mood from user generated content in sources like Twitter, Web News has a predictive relationship to the future stock prices. Lack of information such as social mood was there in past studies and in this research, we discuss an effective method to analyze multiple information sources to fill the information gap and predict an accurate future value. We evaluate JUST EAT TAKEAWAY.COM N.V. prediction models with Modular Neural Network (Social Media Sentiment Analysis) and Spearman Correlation1,2,3,4 and conclude that the LON:JET stock is predictable in the short/long term. According to price forecasts for (n+3 month) period: The dominant strategy among neural network is to Buy LON:JET stock.


Keywords: LON:JET, JUST EAT TAKEAWAY.COM N.V., stock forecast, machine learning based prediction, risk rating, buy-sell behaviour, stock analysis, target price analysis, options and futures.

Key Points

  1. What is prediction in deep learning?
  2. Can we predict stock market using machine learning?
  3. Should I buy stocks now or wait amid such uncertainty?

LON:JET Target Price Prediction Modeling Methodology

In this paper a Bayesian regularized artificial neural network is proposed as a novel method to forecast financial market behavior. Daily market prices and financial technical indicators are utilized as inputs to predict the one day future closing price of individual stocks. The prediction of stock price movement is generally considered to be a challenging and important task for financial time series analysis. We consider JUST EAT TAKEAWAY.COM N.V. Stock Decision Process with Spearman Correlation where A is the set of discrete actions of LON:JET 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(Spearman Correlation)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(Modular Neural Network (Social Media Sentiment Analysis)) X S(n):→ (n+3 month) i = 1 n s i

n:Time series to forecast

p:Price signals of LON:JET 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:JET Stock Forecast (Buy or Sell) for (n+3 month)

Sample Set: Neural Network
Stock/Index: LON:JET JUST EAT TAKEAWAY.COM N.V.
Time series to forecast n: 06 Oct 2022 for (n+3 month)

According to price forecasts for (n+3 month) period: The dominant strategy among neural network is to Buy LON:JET 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

JUST EAT TAKEAWAY.COM N.V. assigned short-term B1 & long-term B3 forecasted stock rating. We evaluate the prediction models Modular Neural Network (Social Media Sentiment Analysis) with Spearman Correlation1,2,3,4 and conclude that the LON:JET stock is predictable in the short/long term. According to price forecasts for (n+3 month) period: The dominant strategy among neural network is to Buy LON:JET stock.

Financial State Forecast for LON:JET Stock Options & Futures

Rating Short-Term Long-Term Senior
Outlook*B1B3
Operational Risk 7656
Market Risk3138
Technical Analysis3338
Fundamental Analysis8947
Risk Unsystematic8045

Prediction Confidence Score

Trust metric by Neural Network: 83 out of 100 with 661 signals.

References

  1. Matzkin RL. 2007. Nonparametric identification. In Handbook of Econometrics, Vol. 6B, ed. J Heckman, E Learner, pp. 5307–68. Amsterdam: Elsevier
  2. Chernozhukov V, Newey W, Robins J. 2018c. Double/de-biased machine learning using regularized Riesz representers. arXiv:1802.08667 [stat.ML]
  3. Christou, C., P. A. V. B. Swamy G. S. Tavlas (1996), "Modelling optimal strategies for the allocation of wealth in multicurrency investments," International Journal of Forecasting, 12, 483–493.
  4. Dimakopoulou M, Athey S, Imbens G. 2017. Estimation considerations in contextual bandits. arXiv:1711.07077 [stat.ML]
  5. Chernozhukov V, Escanciano JC, Ichimura H, Newey WK. 2016b. Locally robust semiparametric estimation. arXiv:1608.00033 [math.ST]
  6. Bessler, D. A. R. A. Babula, (1987), "Forecasting wheat exports: Do exchange rates matter?" Journal of Business and Economic Statistics, 5, 397–406.
  7. M. L. Littman. Friend-or-foe q-learning in general-sum games. In Proceedings of the Eighteenth International Conference on Machine Learning (ICML 2001), Williams College, Williamstown, MA, USA, June 28 - July 1, 2001, pages 322–328, 2001
Frequently Asked QuestionsQ: What is the prediction methodology for LON:JET stock?
A: LON:JET stock prediction methodology: We evaluate the prediction models Modular Neural Network (Social Media Sentiment Analysis) and Spearman Correlation
Q: Is LON:JET stock a buy or sell?
A: The dominant strategy among neural network is to Buy LON:JET Stock.
Q: Is JUST EAT TAKEAWAY.COM N.V. stock a good investment?
A: The consensus rating for JUST EAT TAKEAWAY.COM N.V. is Buy and assigned short-term B1 & long-term B3 forecasted stock rating.
Q: What is the consensus rating of LON:JET stock?
A: The consensus rating for LON:JET is Buy.
Q: What is the prediction period for LON:JET stock?
A: The prediction period for LON:JET is (n+3 month)

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