Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Tom designed a financial forecasting method to predict whether the stock market index will go up or down from day to day ( and we

Tom designed a financial forecasting method to predict whether the stock
market index will go up or down from day to day (and we assume that the price never stays
identically the same, and we also assume that the forecasting method never predicts that the
stock market index will stay the same). Jene has asked colleagues
to test how good it is. A test is run over 100 trading days.
the system predicted that the index would drop on 40 days, but it actually rose
on 14 of those days. When considering the other 60=10040=60 days,
the price moved closer to zero on 12 of those days.
now asked, based on this data, to report the following. What answers should they
give regarding
(a) accuracy
(b) precision
(c) recall
(d) F1-score ?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Routledge Handbook Of State Owned Enterprises

Authors: Luc Bernier, Massimo Florio, Philippe Bance

1st Edition

1138487694, 978-1138487697

More Books

Students also viewed these Finance questions