Using Neural Networks For Financial
by Lou Mendelsohn
With this offering, STOCKS & COMMODITIES contributor Lou Mendelsohn concludes his examination of
neural networks for financial forecasting in today's globalized trading environment. Here, Mendelsohn
concentrates on implementation issues and discusses how neural networks should be utilized as part of
an overall trading strategy. Finally, he takes a brief look at the future of artificial intelligence
technologies to implement synergistic market analysis.
No discussion of the design, training and testing of neural networks could be complete without
addressing the topic of implementation. How can a neural network, or combination of networks, be
integrated into information systems and trading systems? Here is an example that uses many of the
concepts of neural network development covered previously: training and testing, preprocessing, fact
selection, input selection, architecture and paradigms.