Statistics

Statistics is highly important to understanding the stock market.  Statistics are used in Technical Analysis, fundamental analysis to help you to make better trading decisions. The more about statistics you understand the easier it will be to understand the market. There are models used by the big investment firms that predict which type of investment style to buy, growth or value.  Other statistical models can help institutions sell off a portfolio when a new manager takes over with the idea of reducing transaction costs.

Statistic Concepts

• Probability
• Risk
• Standard Deviation
• stochastic
• Regression
• R squared
• Variance-Covariance Matrix
• Average
• Mean
• Median
• Martingales
• Markov Chains
• Stochastic
• Poisson Process
• Brownian Motion
• Ito Stochastic Calculus
• Chi Squared
• Regression Analysis
• Optimization
• Time series analysis

Advanced books using statistics

• The Visual Display of Quantitative Information by Edward Tufte
• Quantitative Methods in Finance by Terry J. Watsham, Keith Parramore
• Statistics for Business and Economics : Methods and Applications by Edwin Mansfield
• Neural Network Time Series: Forecasting of Financial Markets by by E. Michael Azoff
• Options, Futures, and Other Derivatives by John C. Hull
• Investment Management by Fabozzi
  

Statistic Courses

• Seeing Statistics ($)

Statistic Links

• Demos for learning statistics