Stock Market Prediction Using the ARIMA Model

In the recent times it has been seen that stock market prediction is becoming an important field of financial forecasting. The people such as stock sellers & buyers, policy makers, the ones who keep interest in investing in the stock market and many others involved in this financial market are attracted to it. The aim of this paper is to come up with an efficient & effective model for stock market prediction. Over the years it is observed that stock market data is nonlinear, chaotic & dynamic. This paper is going to present a predictive model for prices of the stocks with the help of ARIMA model. The stock data which is published from the Bombay Stock Exchange (BSE) & National Stock Exchange (NSE) has been used with the model developed for the prediction of stock price. From the results which are obtained, we come to the conclusion that for short-term prediction the ARIMA model has a great potential & also it shows competence with the already present methods for stock price prediction.