Market of Stocks during Crisis Looks Like a Flock of Birds
A crisis in financial markets can be considered as a collective behaviour phenomenon. The collective behaviour is a complex behaviour which exists among a group of animals. The Vicsek model has been adapted to represent this complexity. A unique phase space has been introduced to represent all possi...
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| Format: | Article |
| Language: | English |
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MDPI AG
2020-09-01
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| Series: | Entropy |
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| Online Access: | https://www.mdpi.com/1099-4300/22/9/1038 |
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| author | Bahar Afsharizand Pooya H. Chaghoei Amirhossein A. Kordbacheh Andrey Trufanov Golamreza Jafari |
| author_facet | Bahar Afsharizand Pooya H. Chaghoei Amirhossein A. Kordbacheh Andrey Trufanov Golamreza Jafari |
| author_sort | Bahar Afsharizand |
| collection | DOAJ |
| description | A crisis in financial markets can be considered as a collective behaviour phenomenon. The collective behaviour is a complex behaviour which exists among a group of animals. The Vicsek model has been adapted to represent this complexity. A unique phase space has been introduced to represent all possible results of the model. The return of the transaction volumes versus the return of the closed price of each share has been used within the defined phase space. The findings show that the direction of the resultant velocity vectors of all share in this phase space act in the same direction when the financial crisis happens. By monitoring the market’s collective behaviour, it will be possible to gain more knowledge about the condition of the market days in crisis. This research aims to investigate the collective behaviour of stocks using the Vicsek model to study the condition of the market during the days in crisis. |
| first_indexed | 2024-03-10T16:16:44Z |
| format | Article |
| id | doaj.art-1b7c5da0210f45179a61570dc9c78544 |
| institution | Directory Open Access Journal |
| issn | 1099-4300 |
| language | English |
| last_indexed | 2024-03-10T16:16:44Z |
| publishDate | 2020-09-01 |
| publisher | MDPI AG |
| record_format | Article |
| series | Entropy |
| spelling | doaj.art-1b7c5da0210f45179a61570dc9c785442023-11-20T14:00:00ZengMDPI AGEntropy1099-43002020-09-01229103810.3390/e22091038Market of Stocks during Crisis Looks Like a Flock of BirdsBahar Afsharizand0Pooya H. Chaghoei1Amirhossein A. Kordbacheh2Andrey Trufanov3Golamreza Jafari4Department of Physics, Iran University of Science and Technology, Tehran 512, IranCenter for Complex Networks & Social DataScience, Shahid Beheshti University, Tehran 512, IranDepartment of Physics, Iran University of Science and Technology, Tehran 512, IranInstitute of Information Technology and Data Science, Irkutsk National Research Technical University, 664000 Irkutsk, RussiaDepartment of Physics, Shahid Beheshti University, Tehran 512, IranA crisis in financial markets can be considered as a collective behaviour phenomenon. The collective behaviour is a complex behaviour which exists among a group of animals. The Vicsek model has been adapted to represent this complexity. A unique phase space has been introduced to represent all possible results of the model. The return of the transaction volumes versus the return of the closed price of each share has been used within the defined phase space. The findings show that the direction of the resultant velocity vectors of all share in this phase space act in the same direction when the financial crisis happens. By monitoring the market’s collective behaviour, it will be possible to gain more knowledge about the condition of the market days in crisis. This research aims to investigate the collective behaviour of stocks using the Vicsek model to study the condition of the market during the days in crisis.https://www.mdpi.com/1099-4300/22/9/1038collective behaviorVicsek modelfinancial crisis |
| spellingShingle | Bahar Afsharizand Pooya H. Chaghoei Amirhossein A. Kordbacheh Andrey Trufanov Golamreza Jafari Market of Stocks during Crisis Looks Like a Flock of Birds Entropy collective behavior Vicsek model financial crisis |
| title | Market of Stocks during Crisis Looks Like a Flock of Birds |
| title_full | Market of Stocks during Crisis Looks Like a Flock of Birds |
| title_fullStr | Market of Stocks during Crisis Looks Like a Flock of Birds |
| title_full_unstemmed | Market of Stocks during Crisis Looks Like a Flock of Birds |
| title_short | Market of Stocks during Crisis Looks Like a Flock of Birds |
| title_sort | market of stocks during crisis looks like a flock of birds |
| topic | collective behavior Vicsek model financial crisis |
| url | https://www.mdpi.com/1099-4300/22/9/1038 |
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