© Igor Livshin 2019Igor LivshinArtificial Neural Networks with Javahttps://doi.org/10.1007/978-1-4842-4421-0_11
11. The Importance of Selecting the Correct Model
The example discussed in this chapter will end up showing a negative result. However, you can learn a lot from mistakes like this.
Example 7: Predicting Next Month’s Stock Market Price
In this example, you will try to predict next month’s price of the SPY exchange-traded fund (ETF)
; this is the ETF that mimics the S&P 500 stock market index. Someone’s rational for developing such a project could be something like this:
“We know that market prices are random, jumping daily up and down and reacting to different news. However, we are using the monthly prices, ...