Book Image

NumPy: Beginner's Guide

By : Ivan Idris
Book Image

NumPy: Beginner's Guide

By: Ivan Idris

Overview of this book

Table of Contents (21 chapters)
NumPy Beginner's Guide Third Edition
Credits
About the Author
About the Reviewers
www.PacktPub.com
Preface
NumPy Functions' References
Index

Statistics


Stock traders are interested in the most probable close price. Common sense says that this should be close to some kind of an average as the price dances around a mean, due to random fluctuations. The arithmetic mean and weighted average are ways to find the center of a distribution of values. However, neither are robust and both are sensitive to outliers. Outliers are extreme values that are much bigger or smaller than the typical values in a dataset. Usually, outliers are caused by a rare phenomenon or a measurement error. For instance, if we have a close price value of a million dollars, this will influence the outcome of our calculations.