On the Positive Colored Noise of the Price of Stock

Amnuay Kananthai

Abstract

In studying the fluctuation of the price of stock, there are three parameters affecting such fluctuation. The first is well known parameter which is
known as the volatility of stock. The second is not really well know which is white
noise and has not been computed. Fortunately, in this paper we can find the formula of such white noise and can be computed. The third parameter is the positive colored noise which is the aim of this paper. Such positive colored noise is derived from the white noise and it is interesting parameter particularly, in involving the infinitely fluctuation of the price of stock. Moreover, The relationships between three parameter has been also studied and obtaining the interesting results.