Recent Advances of Exception Mining in Stock Market

Stock Market

Stock market is the platform where the buyer and seller trade for stock and its derivatives (Cheng 2006, Allen 1992, Lucas 1993). It is one of the most important sources for companies to raise money (Jain 2005). The business is able to be traded publicly in the form of stock. The accumulation of additional capital makes companies expansion by selling shares of ownership of the company in a public market. In addition, exchanges provide the liquidity which affords investors the ability to quickly and easily sell securities (Charest 1978). Stock market has become an important part of the dynamics of economic activity. Nowadays it has become an indicator of economy and can influence the social mood. For example, when the stock market is on the rise, the economy is considered to be positive; otherwise, the economy is regarded as upsetting. Therefore, the stock market is regarded as the primary indicator of a country’s economic strength and development (Jain 2005).

The stocks are listed and traded on stock exchanges. Exchanges act as the clearinghouse for each transaction in stock markets (John & Narayanan 1997). They guarantee payment to the seller of a security by collecting and delivering the shares. The risks for buyers or sellers are expected to be eliminated or controlled to some extent. Exchanges also take the responsibilities of regulations of stock markets (Bettis et al. 1998). They have the duty to provide fair and transparent platform for all participants.