Nonparametric, nonlinear, short-term forecasting: Theory and evidence for nonlinearities in the commodity markets

Yehuda Agnon, Amos Golan, Matthew Shearer

Research output: Contribution to journalArticlepeer-review

Abstract

In this paper we modify and investigate a nonparametric, nearest-neighbor forecasting method. We compare a minimal 'volume' simplex method, constructed out of the E+1 E-dimensional points, with the E+1 nearest points method. We then show nonlinearities in some precious metals commodities.

Original languageEnglish
Pages (from-to)293-299
Number of pages7
JournalEconomics Letters
Volume65
Issue number3
DOIs
StatePublished - Dec 1999

Keywords

  • Commodities
  • Embedding dimension
  • Forecasting
  • Nearest point method
  • Simplex

ASJC Scopus subject areas

  • Finance
  • Economics and Econometrics

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