Ising type models applied to Geophysics and high frequency market data

The classical Ising model was used to re-create the ferromagnetic phenomenon in statistical mechanics. The model describes the behavior of atoms in a lattice. Each atom may interact only with its neighbors, and has two states called spins. When the atoms polarize their spins, the resulting material exhibits a net magnetization. A similar model has been used before in financial math: the spins correspond to the buy/sell position of a trader and the polarization is equivalent with all the traders in the market wanting to sell. This leads to a market crash. In this work, we present extensions and applications to geophysics and high frequency market data.