Foreign Exchange Rate Time Series Forecasting Model 🤖
Foreign Exchange, more aptly FOREX or FX as it's called nowadays, is the global marketplace where currencies are traded against each other. FOREX, being the largest and most liquid market in the world, attracts beginners to advanced veteran traders alike. Naturally every second the market runs for, counts and given how valuable commodities (or currencies) are in general, one can’t afford even a minute lapse in judgment. Ideally, the two most paramount elements to consider when aiming to make the most profit in the opening trade orders in FOREX are the right hypothesis of future trends of Foreign Exchange instruments and the right window to open and close the trade. But realistically, only 2% of the retail traders have been able to successfully make compelling prognoses of the FOREX movement trends, making it one of the more daunting tasks, especially when you’re just beginning your FOREX trader journey. Needless to say, since the advent of Machine Learning in every sector from IT to research alike, many FOREX researchers have pondered and crafted methodologies to dwindle the task at hand, only to be succeeding in the former of the elements FOREX trading requires. That isn't to say that Machine Learning (ML) models and its derivatives, often called hybrid models nowadays, aren't gaining popularity in the market. Therefore, a measure to label both metrics required for successful FOREX trend prediction is suggested. As for model selection, we plan to test and evaluate models from the ARIMA family.
