Data mining strategies and methods to develop microfinance market : use case currency exchange
Part of : WSEAS transactions on business and economics ; Vol.6, No.3, 2009, pages 147-156
Issue:
Pages:
147-156
Abstract:
The intrinsic characteristics of data mining are being inculcated in the market of microfinance. The usecase that is brought under our consideration is of Currency Exchange. The idea was conceived and perceived bythe current financial crises in the world market in the year 2008-09.The financial recession in world widecompelled individuals to think and start micro businesses rather than macro businesses. In our paper we conceivedand designed some algorithms by using data mining techniques to have general micro currency exchangebusinesses for a developing country. Our algorithm processes two years historical data of currency rates andapplies data mining strategies. The "Median Method" and "Rise & Fall Method" with probabilistic approach arebeing presented. It can be applied to N year’s data with unless desired results are achieved. This is to give bestchoice to micro currency business men to take decision either to buy or to sell currency. Some previous currencyrates (i.e. Ups & Down) are also recorded from a popular bank of Canada & currency open markets as a proof ofconcept using our algorithm. The statistical and graphical analysis are being made on the data .Our algorithm canbe efficiently used by all those who wish to initialize a small business (Cottage Industries) with a profitableincome with less investment. Our research will lead to a new dimension in the fields of Micro finance and Datamining.
Subject:
Subject (LC):
Keywords:
data mining strategies , microfinance, currency exchange, rise and falls method
Notes:
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