Stock Market Trend Prediction

Stock market trend prediciton done on the S&P market index dataset taken from finance.yahoo.com for a period of 1 year(16-05-2019 - 15-05-2020).

1. Dataset Analysis.iypnb This file contains the code for data analysis done for finding the frequency disribution table or binning of data into 4 states.Further, the transition probability matrix is found.
2. Prediction Using Markov Chains.iypnb From the transition matrix found in the previous file, we have implemented the Markov Model to forecast the future states in this file. As a sample, this forecast is carried out for 3 days indicating the probabilities of stock market value being in each one of the 4 states. Further, we have plotted a graph for 40 consecutive days showing transitions from 1 state to another. This also proves that after a certain period, we approach steady-state probabilities.

The project can be found here