Markov Chains, Markov Process, Python, Discrete Time Markov, Probability.
close 0.8% lower than the previous day’s closing price. Given any sequence of 3 days denoted by ‘day before’, ‘yesterday’ and ‘today’, if Acme has closed higher yesterday than the day before, it will close higher today than yesterday with a probability p_11. Consequently, it would close lower today