Market Wave Dynamics

An agent-based financial market simulation that delves into the intricate dynamics of trading behaviors, highlighting the influence of psychological factors like FOMO on market outcomes.

View the Project on GitHub wolkenmilch/market-wave-dynamics

Quick Start Guide

Welcome to our agent-based financial market model! This innovative tool simulates the intricate dynamics of financial markets by considering diverse agent behaviors, market shocks, and even psychological factors like the Fear of Missing Out (FOMO). Whether you’re a researcher, student, or just curious about financial markets, this model offers valuable insights into how different factors shape market outcomes.

  1. Accessing the Model:
    • As you’re already on the homepage, you’ll find the model interface directly above this guide.
  2. Setting Parameters:
    • Familiarize yourself with the various sliders and switches on the interface. These control parameters like the percentage of talking agents (perc-talk), chartist reaction parameters (chart_react_param), and more.
    • Adjust these parameters to set up the initial conditions for your simulation.
  3. Initialize the Model:
    • Click on the Setup button. This prepares the model environment, placing agents and setting initial conditions.
  4. Run the Simulation:
    • Hit the Start button to commence the simulation. Watch as agents interact, make decisions, and influence market dynamics in real-time.
    • You can pause the simulation anytime by pressing the Start button again.
  5. Analyze Outputs:
    • Observe the various plots like ‘Market Participants,’ ‘Traders Inflow,’ and ‘Price-Chart’ to gain insights into market dynamics under the conditions you’ve set.
    • Adjust parameters and rerun the simulation to see how different settings influence outcomes.
  6. Deep Dive:
    • If you wish to delve deeper into the intricacies of the model, its formulation, or want to understand specific parameters in detail, please refer to the following documents:

Documents