Application of Machine Learning Algorithm in Financial Industry

In the financial sector, data are collected from many sources, such as central banks, stock exchanges and other organizations. Then use various algorithms to process these data and predict the future results of the asset. These data can be used to predict the price trend of short-term and long-term securities or commodities. This is achieved by applying machine learning algorithms to analyze history and current market trends. The quantitative analysis method for financial data is a method that uses computers to analyze financial data, so as to predict the fluctuation direction of the securities market to obtain excess returns. Machine learning has become an important means in quantitative analysis methods, and has shown better performance than traditional quantitative analysis methods. The quantitative analysis method based on machine learning is used to analyze and invest financial data, which has the advantages of objectivity, accuracy and other advantages that traditional investment methods do not have, so it is used by investors and financial institutions.