PREDICTING INDIAN AND GLOBAL STOCK INDICES BY APPLYING MACHINE LEARNING TECHNIQUES

Abstract

With the widespread availability of mobile phones and internet access, there has been a significant increase in stock market participation across the globe. In India alone, the number of demat accounts has reached a staggering 110 million (TimesofIndia, 2023). As individuals seek opportunities for excessive returns, many are turning to technical analysis as a means to navigate the complexities of the stock market. Moreover, professional traders have long relied on technical trading strategies. The emergence of Artificial Intelligence (AI) and Machine Learning (ML) has made a substantial impact on the financial landscape, offering the ability to analyze vast amounts of data and uncover new insights and patterns that can unlock opportunities for financial enthusiasts. This chapter aims to provide an introductory background on the stock market and explore the methods of analyzing and forecasting stock market movements, prices, and trends. It also discusses the motivation behind the study, outlines the challenges in the field, and presents the problem statement that this research seeks to address. Furthermore, it outlines the organization and structure of the thesis, providing a roadmap for the subsequent.