Utilising an Oracle DBMS to Create a Neural Network that Is Useful To Traders and Investors

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Submitted by John Bell as part of our contributors program.

Utilising an Oracle DBMS to Create a Neural Network that Is Useful To Traders and Investors

What if someone was to tell you that you could gain access to sophisticated technical analysis that only the best of the best have access to? Would you be interested? If you are, read on, you can begin to explore the scope of what you would need to do to make that possible.

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The best traders and investors are huge data hogs, and most traders tend towards using more and more data to help them feel more in control of their trading. This, as most professional traders will attest to, is like chasing the proverbial rabbit down the hole.

Neural networks and algorithms can help you gain some sort of order and control over these huge amounts of data in order to help you achieve your goal of making profit.

Neural networks are algorithms that can adapt to mimic the functioning of a human mind. Neural networks use historical data to try to extrapolate or make predictions about the future given similar conditions.

Most people who have heard about neural networks and algorithms don’t understand how neural networks can benefit their trading and investment life. Their misconceptions range in a spectrum from those who don’t know anything about neural networks to those who expect too much from them.

People either think about neural networks and algorithms as some sort of marketing gimmick, some complex and impractical scientific pursuit not relevant to their needs while other think of it as a holy grail or silver bullet that they can use to avoid making decisions and solve any problem that may come their way.

If you have some experience trading in the forex markets, stocks, commodities or any other form of trading market, then you know that there is no Holy Grail method. You have to be able to see the markets from your point of view by having a trading strategy that will help you contextualize the bigger picture, in a way that will generate revenue for you.

Especially when it comes to trading and investments, neural networks and algorithms are therefore a more sophisticated method of technical analysis that can help you to analyze data and therefore point you towards new opportunities that you may not have perceived before. They are not the best to utilize as forecasting tools.

To gain control of all the input data that you will use in a neural network, you need to have access to a database. The database will allow you to organize the data in a way that you can query it in order to produce analysis that is relevant and usable.

It is very important to remember that neither the neural network nor algorithm does the magic. The magic is more a factor of well thought out, input data on a specific area of the market.

Benefits of an Oracle DBMS

An Oracle database management system can be very helpful towards building a good neural network. The advantages of using an Oracle database management system include:

Secure Data

Making sure that your data is always secure is very important for any database management system, especially one that has the potential of making you lose strategies important to your livelihood.

The Oracle database management system allows for the secure storage of data by preserving control lists that keep encrypted information about user privileges.

Through the Oracle DBMS you can also encrypt transmission of data to and from the data storage. You can also keep track of all queries, access and attempted access of the data in the DBMS. The system can alert you in case there has been data access without your knowledge.

Efficiency and universal

When creating algorithms for your neural networks using different programming languages, you will realize that most programming languages such as .NET and Java have classes that work within Oracle databases. This means that your algorithms can be efficient and you will not need to find specialized skills to code algorithms specific to the database management system.

This capacity to code programs within the database management system allows for more efficient data definition, input and manipulation.

Oracle DBMS allows for better database design and better mining of the data

The Oracle DBMS comes with inbuilt tools that will allow you to design and develop a database with a relative amount of ease when compared to other database management systems. The tools provided allow you to design and create transactions and tables with quite some flexibility and ease.

The Oracle DBMS also allows you to capture transaction data and give surface maps that can help you investigate the data most often used or accessed. You can use this inbuilt analysis of your transactional behavior to make business and trading decisions that are more useful towards helping you make more profit and save time and money.

Easy data management and administration

With the Oracle DBMS you can easily administer data from your locale using management tools that are a part of the Oracle database management system. The management tools can allow you to stop and start instances, tools to help you do day to day administration of the DBMS through the Ops center, and tools to help you write SQL code to give instructions and queries to your database.

Leverage on the services of a database administrator to run your DBMS

Before you feel overwhelmed by too much information, you should know that it is possible for you to not stray away from your job or passion for investing or trading in order to learn how to program and maintain a neural network and its accompanying database management system. You could make use of the services of remote DBA experts.

A database administrator manages activities related to maintaining an efficiently running and successful database environment. Once you have developed a neural network, all you will have to do is monitor the input data into the system and leave the rest to the DBA. The beauty is the DBA expert can manage the system remotely leaving you to focus on your work and less on the support work like maintaining the database and neural network.

Sources-

http://www.investing.com/analysis/top-8-things-you-need-to-know-when-investing-in-the-stock-market-248534

http://www.trefis.com/stock/orcl/model/trefis?easyAccessToken=PROVIDER_abf63f6571783300ac1f008338373ad5284bac3c

http://www.trefis.com/stock/msft/model/trefis?easyAccessToken=PROVIDER_4f3bafbafd3829ea10eeb9593465b445f02c1004

For Database Image Credit – http://bigdropinc.com/

For Oracle Image Credit-https://farm3.staticflickr.com/2740/4309373529_91c253aed7_o.jpg

For Data Files Image Credit –http://upload.wikimedia.org/wikipedia/commons/0/0e/Oracle_Database_Disk_Structures.png