Can We Predict GBP/USD Flash Crash With Long Short Term Memory Network Or Gated Recurrent Unit?

15 March 2017, 06:45
Ahmad Hassam

Deep learning is the buzzword now a days.

It is being claimed that deep learning is the technological revolution of this century.

Deep learning has performed miracles at Google, Facebook, Amazon and other high tech companies.

Soon we will be seeing auto driving cars. Uber, Tesla and Google are working hard on this.

Do you remember the GBP/USD Flash Crash that took place last year?

In less than a minute GBP/USD had fallen 1200 pips and then made recovery.

GBP/USD Flash Crash has been blamed on a rogue algorithm.

In this post I have used Long Short Term Memory Network and the Gated Recurrent Unit on GBP/USD daily data.

The aim is to predict the GBP/USD Flash Crash one day before it happened.

You can read the post and get the python code as well the results on how good the GBP/USD Flash Crash was.‌

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