Accurate forecasting of electricity spot prices is crucial for market participants in formulating bidding strategies.However

the extreme volatility of electricity spot prices

influenced by various factors

poses significant challenges for forecasting.To address the data uncertainty of electricity prices and effectively mitigate gradient issues

overfitting

and computational challenges associated with using a single model during forecasting

this paper proposes a framework for forecasting spot market electricity prices by integrating wavelet packet decomposition (WPD) with a hybrid deep neural network.By ensuring accurate data decomposition

the WPD algorithm aids in detecting fluctuating patterns and isolating random noise.The hybrid model integrates temporal convolutional networks (TCN)and long short-term memory(LSTM)networks to enhance feature extraction and improve forecasting performance.Compared to other techniques

it significantly reduces average errors

decreasing mean absolute error(MAE)by 27.3%

root mean square error(RMSE)by 66.9%

and mean absolute percentage error (MAPE) by 22.8%.This framework effectively captures the intricate fluctuations present in the time series

resulting in more accurate and reliable predictions.