Data science How to Interpet ARIMA Results To analyze ARIMA results, you need to determine if the model meets the assumptions using Jlung-Box chi-square statistics and autocorrelation of residuals; understand if each term is significant using p-values, and recognize if
Data science How to Make a Time Series Stationary in Python You can make a time series stationary using adjustments and transformations. Adjustments such as removing inflation simplify the historical data making the series more consistent. Transforms like logarithms can stabilize the variance while
Data science How to Check Time Series Stationarity in Python You can use visual inspection, global vs. local analysis, and statistical tests such as the Augmented Dickey-Fuller (ADF) test to identify stationarity using Python.
Data science What Is Stationarity in Time Series Analysis? A Visual Guide Stationarity means that the statistical properties of a process that creates a time series are constant over time. This statistical consistency makes predictable distributions and is an assumption of many time series forecasting
Terms & faqs Proprietary Trading: How It Works & Career Guide Proprietary trading occurs when a trader trades stocks, bonds, commodities, and other financial instruments with a firm’s own money. Traders who make these types of traders are often called prop traders, short for
Terms & faqs Dark Pools Illuminated Dark pools are an alternative trading system (ATS) that allows institutional investors to conduct massive trades without disclosing details on the public exchange unless executed.
Terms & faqs Volume-Weighted Average Price (VWAP): Explained Volume Weighted Average Price (VWAP) is the average trading price of a security throughout the day using both price and volume. It provides traders an insight into the price trend where volume is
Terms & faqs Time-Weighted Average Price (TWAP): Defined Time-weighted average price (TWAP) calculates the weighted average price of the security over a particular time period. VWAP is often implemented as an order execution strategy to execute massive trades by breaking them
Terms & faqs ETF Arbitrage: How It Works ETF Arbitrage is a strategy through which traders earn a profit by exploiting the price discrepancy between an ETF and its underlying assets or related securities.
Terms & faqs Volatility Arbitrage: Overview & Concerns Volatility Arbitrage is a form of statistical arbitrage used in options trading. This trading technique aims to exploit the difference between an option’s implied volatility the underlying asset’s actual volatility.
Terms & faqs Options vs. Stocks Stocks are an asset that gives you a share of ownership of the company when purchased. Options are contracts that offer a trader the right but not an obligation to buy or sell
Terms & faqs Preferred Stock vs. Common Stock A company issues Common Stock and Preferred Stock to raise capital for its expansion. Common Stockholders enjoy Voting rights while Preferred Stockholders do not. Common Stock offers capital appreciation and dividends, while Preferred
