Using Predictive Machine Learning to Forecast FX Fluxuations

Using Predictive Machine Learning to Forecast FX Fluxuations

A large Japanese bank engaged Brainpool to improve FX market predictions.

FX TradingPredictive Machine Learning

Our client covers all major currencies and markets. They also have a wide range of bespoke Foreign Exchange Risk Management Solutions. It is therefore vital for them to receive real time, precise information on the fluctuation of these currencies.

The problem they faced was the inability to accurately forecast how currencies will perform in the near future. There is no way to make a definitive prediction about how a currency will behave, but it is possible to make well-informed estimates.

// The outcome

What it delivered.

56%
Forecast accuracy
52%
Baseline prediction accuracy
+4 pp
Model improvement vs baseline
The call

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