Anxiety Detection Model for Stock Traders based on Principal Component Analysis

Everybody would agree on one thing: the nervousness among traders may lead to massive sells of stocks, the avalanche of prices, and huge losses.

We have witnessed this sort of behaviour many times. An anxiety is the feeling of uncertainty, a human inborn instinct that triggers a self-defending mechanism against high risks. The apex of anxiety is fear and panic. When the fear spreads among the markets, all goes south.

It is a dream goal for all traders to capture the nervousness and fear just by... -> Sources.

Now, I am quite sure you have heard about Mathematica (the Software). Can you imagine what a change you will make to your trading view, with the following code (Page 77):

In[1]:= << Stochastics`

In[2]:= MyChain = BuildChain@ 88A, B, 1  2<, 8A, A, 1  2<, 8B, C, 1<, 8C, C, 1  2<, 8C, B, 1  2<<, 88A, 1  2<, 8B, 1  4<, 8C, 1  4<< D;

In[3]:= States@MyChainD

Out[3]= 8A, B, C<

In[4]:= NumberOfStates@MyChainD

Out[4]= 3

In[6]:= InitialDistribution@MyChainD

Out[6]= : 1 2 , 1 4 , 1 4 >

In[7]:= TransitionMatrix@MyChainD

Out[7]= :: 1 2, 1 2 , 0>, 80, 0, 1<, :0, 1 2, 1 2 >>

In[8]:= MatrixForm@TransitionMatrix@MyChainDD

Out[8]//MatrixForm= 1 2 1 2 0

0 0 1 0 1 2 1 2 

In[9]:= Probability@A, B, 3, MyChainD

Out[9]= 3 8

In[10]:= Classes@MyChainD

Out[10]= 88A<, 8B, C<<

In[11]:= Recurrence@MyChainD

Out[11]= 80, 1, 1<

In[12]:= TransientStates@MyChainD

Out[12]= 8A<

In[13]:= RecurrentStates@MyChainD

Out[13]= 8B, C<