Book Image

Practical Machine Learning Cookbook

By : Atul Tripathi
Book Image

Practical Machine Learning Cookbook

By: Atul Tripathi

Overview of this book

Machine learning has become the new black. The challenge in today’s world is the explosion of data from existing legacy data and incoming new structured and unstructured data. The complexity of discovering, understanding, performing analysis, and predicting outcomes on the data using machine learning algorithms is a challenge. This cookbook will help solve everyday challenges you face as a data scientist. The application of various data science techniques and on multiple data sets based on real-world challenges you face will help you appreciate a variety of techniques used in various situations. The first half of the book provides recipes on fairly complex machine-learning systems, where you’ll learn to explore new areas of applications of machine learning and improve its efficiency. That includes recipes on classifications, neural networks, unsupervised and supervised learning, deep learning, reinforcement learning, and more. The second half of the book focuses on three different machine learning case studies, all based on real-world data, and offers solutions and solves specific machine-learning issues in each one.
Table of Contents (21 chapters)
Practical Machine Learning Cookbook
Credits
About the Author
About the Reviewer
www.PacktPub.com
Customer Feedback
Preface
14
Case Study - Forecast of Electricity Consumption

Hidden Markov models - EUR and USD


The EUR/USD is the most commonly traded pair in the Forex market. Their popularity can be attributed to the fact that each currency represents the world's two largest economic and trading blocks and many multinational corporations that conduct business across the Atlantic.

Price movements for this currency pair are generally related to factors that influence the value of either the EUR or the USD. As the world's most liquid currency pair, the EUR/USD offers tight spreads and constant liquidity for traders who are looking to instantly buy or sell. The combination of stability and volatility makes the EUR/USD an excellent pair for beginner and advanced traders. The EUR/USD pair offers traders high liquidity and has very tight and competitive spreads. The relative strength of the US economy and the European economy, which can be tracked through the daily news, generally influence this pair.

Getting ready

In order to apply the hidden Markov model to find different...