New Perspectives In The Complexities And Chaos Of Stock Price Fluctuations In The Capital Market

ABSTRACT

The complexities and chaotic nature of fluctuations of stock price of Financial Institutions in the stock market is a known phenomenon. In this thesis we investigate some new perspectives in the fluctuations, chaos and complexities of the stock market using a combination of the Picard’s Iterative Method, the Melnikov’s Method and the Lyapunov’s Methods to create a novel way of tracking down the fluctuations in the market, so as to restore the investors’ confidence in the market. The results show that the approximate solution and chaos exist. Arising from this work also is the stability analysis of the equilibrium points of the market fluctuations in prices. The relevance of this thesis can be found in its application to policy formulation and in high risk businesses to minimize risk