
Math Software Math Software  Mathematica, Matlab, Calculators, Graphing Software 
 LinkBack  Thread Tools  Display Modes 
March 12th, 2007, 03:04 PM  #1 
Newbie Joined: Mar 2007 Posts: 2 Thanks: 0  Random Walks  Matlab
Hi! (Not sure if this is the right forum but...) I need to create a program in Matlab that produces a random walk. Basically I'm investigating whether random walks can be used to model share prices; in my research I've found that there are two arguments for which distributions share prices follow (although I guess these may not always be true in practice). The possibilites are either a normal distribution or a tdistribution. So I need to produce 2 walks and in each I want the changes in the random walk (share price) to reflect the distribution of choice. Is this possible? I would be greatful for any help. Prior to this I've been using the following program to produce a random walk not based on these distributions; but I'm not sure how to move on... function y = randomwalk(x0,p,nsteps) y(1:nsteps) = 0; y(1) = x0; for istep = 2:nsteps y(istep) = y(istep1) + step(p); end function y = step(p) y = 1; if ( rand() < 1p ) y = 1; end %% Generate and plot a random walk x = randomwalk(0,0.5,10000); plot(x) Thanks!! 

Tags 
matlab, random, walks 
Search tags for this page 
Click on a term to search for related topics.

Thread Tools  
Display Modes  

Similar Threads  
Thread  Thread Starter  Forum  Replies  Last Post 
Matlab Help!  Abhimint  Math Software  0  January 26th, 2013 06:47 PM 
Random walks in hyperspace  david188288  Advanced Statistics  0  January 7th, 2012 09:58 AM 
Hello! I like infinite walks on the coastline ;)  chalee  New Users  7  January 3rd, 2010 11:05 PM 
Random Walks  Matlab  KeyJ  Advanced Statistics  0  December 31st, 1969 04:00 PM 
Random Walks  Matlab  KeyJ  Computer Science  0  December 31st, 1969 04:00 PM 