Open Access Library Journal 2024, Volume 11, e11519 ISSN Online: 2333-9721 ISSN Print: 2333-9705 DOI: 10.4236/oalib.1111519 May 23, 2024 1 Open Access Library Journal Soft Computing Analysis for Stock Price Dynamism Using Gaussian Membership Function: A Case Study of Nigerian Stock Exchange Njideka Nkemdilim Mbeledogu 1 , Daniel Ugoh 1 , Rose Uzoamaka Paul 1 , Kaodilichukwu Chidi Mbeledogu 2 1 Department of Computer Science, Nnamdi Azikiwe University, Awka, Nigeria 2 Department of Mechanical Engineering, University of Ottawa, Ottawa, Canada Abstract Stock Prices are dynamic and vulnerable to quick changes because of the fun- damental nature of the financial field and in part because of the mix of known parameters (Previous Days Closing Price, High Price, etc.) and unknown fac- tors (like Election Results, Rumors, etc.). Its prediction is generally regarded to be a very arduous task as the process is time-varying, thus, creating uncer- tainty as its characteristic nature. Uncertainty results from the limited capa- bility to resolve details and encompass the notions of partial, vague, noisy and incomplete information about the real world. Soft Computing techniques op- erate in an environment that is subject to uncertainty and imprecision with the aid of Fuzzy logic that aims at formalization of approximate reasoning. Gaussian fuzzy membership function was employed to capture the stock dy- namism by the function’s smoothness at its edges. The system was simulated using MATLAB. 256 production rules of the technical indicators and 16 of the external factors were generated. The simulated system gave a good insight into stock market for investors to know at what point in time is best to buy and sell stocks as well as make a good profit or loss. Subject Areas Artificial Intelligence, Business Analysis, Statistics and Econometrics Keywords Soft Computing, Fuzzy Logic, Uncertainty, Imprecision, Membership Function How to cite this paper: Mbeledogu, N.N., Ugoh, D., Paul, R.U. and Mbeledogu, K.C. (2024) Soft Computing Analysis for Stock Price Dynamism Using Gaussian Member- ship Function: A Case Study of Nigerian Stock Exchange. Open Access Library Journal, 11: e11519. https://doi.org/10.4236/oalib.1111519 Received: April 2, 2024 Accepted: May 20, 2024 Published: May 23, 2024 Copyright © 2024 by author(s) and Open Access Library Inc. This work is licensed under the Creative Commons Attribution International License (CC BY 4.0). http://creativecommons.org/licenses/by/4.0/ Open Access