TradersWeb STT Short Term Trader Fred H. Schlereth, Editor www.tradersweb.com ELE 591,791, Spring 2002 Financial Applications of Neural Networks and Fuzzy Logic Computer and Information Technology For Trading in Stocks and Options (Tuesdays, 6-9 PM, 101 Hinds) F.H. Schlereth, 233 Link Hall, x4401 schleret@ecs.syr.edu, fred@tradersweb.com Outline The purpose of this course is to introduce the student to the application of modern trading algorithms and computer technology to trading in stocks and options. The course is designed to appeal to a wide audience. Students with an engineering orientation will learn about the methodology of trading, but concentrate on the design of algorithms to automate the trading process. Students with a business orientation will learn about the mathematics of trading, but concentrate on the business applications of this new computer technology. Participation of students with diverse backgrounds is key to gaining an understanding of this complex subject. Each student will be required to complete a written project and make an oral presentation. The final grade is based on the quality of this effort. Team projects are encouraged. Topics include data analysis, web site development, technical and fundamental indicator analysis, trading strategies, neural network prediction algorithms, portfolio strategies and others. Weeks Date Subject 1 Jan 15 Introduction, Nature of the Market, Classes of Indicators 2 Jan 22 Theory of Trading, Modeling, Representation 3 Jan 29 Mathematics of Trading, Software Packages, Internet 4 Feb 5 Project Plans (Student Presentations) 5 Feb 12 Fuzzy sets, Neural Networks, Trading Algorithms, 6 Feb 19 Fuzzy sets, Neural Networks, Trading Algorithms, 7 Feb 26 Technical Indicators, Fundamental Indicators 8 Mar 5 Project Reviews 9 Mar 12 Spring Break 10 Mar 19 Trading Strategies, Application of NN and FL 11 Mar 26 NN and FL Advanced Topics 12 Apr 2 Case Studies 13 Apr 9 Case Studies 14 Apr 16 Oral Project Presentations 15 Apr 23 Oral Project Presentations 16 Apr 30 Final Written Reports Due Texts 1. Principles of Neuro Computing for Science and Engineering, F. Ham, McGraw-Hill, 2001 2.The Encyclopedia of Technical Market Indicators, R.W. Colby, T.A. Myers, Irwin, 1988 3. Fundamental of Investing for Growth and Income, V.W. Eveleigh, SCEEE Press, 1996 4. Neural Computing, Theory and Practice, Phillip D. Wasserman, Van Nostrand, 1989 5. Computer and Information Technology for Trading in Stocks and Options, F. Schlereth, B. Schlereth, 1995