Modeling performance using historical data
The goal of this section is to give us a taste of how to build some models; as such, the following examples are not meant to be the best possible model, but rather a simple and relatively quick implementation for learning purposes. Once again, the stock_analysis package has a class for this section's task: StockModeler.
Important note
To fully understand the statistical elements of this section and modeling in general, we need a solid understanding of statistics; however, the purpose of this discussion is to show how modeling techniques can be applied to financial data without dwelling on the underlying mathematics.
The StockModeler class
The StockModeler class will make it easier for us to build and evaluate some simple financial models without needing to interact directly with the statsmodels package. In addition, we will reduce the number of steps that are needed to generate a model with the methods we create. The following...
