Predicting Stock Volumes

Historical data, i$.$e$.$ price $($open$,$ high, low, close$)$ in pence and volume $($cumulative daily volume

reported at $4$:$30pm$ UK time$),$ on the following five selected UK stocks $($see Table $1)$ from the start

of January $2022$ to the end of July $2024$ are given in ukvol.csv$.$

Table $1$: Five selected UK stocks traded on the London Stock Exchange.

Research these stocks. What are they? What do they do$?$ What are their general trading

characteristics?

Carry out a suitable exploratory data analysis of each of the stocks.

Can you find a suitable model $($or models$)$ that helps you predict daily volume? Describe

your model$($s$)$ in detail.

i$.$ Apply your model$($s$)$ to the data.

ii$.$ How well does your model$($s$)$ work, i$.$e$.$ what is your fitting criterion or criteria? How

have you considered in$-$sample versus out$-$of$-$sample error?

iii. What other data might you seek obtain in an attempt to improve your predictions?

Justify your answer fully.

Briefly describe the advantages and disadvantages of your analysis overall.