An Application of the Continuous Wavelet Transform to Financial Time Series
Wavelet theory, which shares fundamental concepts with windowed Fourier analysis, introduces the notion of scale in an effort to aid in joint time-frequency analysis. Having century-old roots, much of the essential research on the subject of wavelets was conducted during the 1970s and 1980s. Despite being a rather young toolset, wavelets have shown to be very useful when studying signals with tran