In today's world the constant news streams continually changes an investor knowledge and understanding of the market and influences investor sentiment. Recent advances in big-data technologies, computational linguistics and machine learning models have now made possible an automatic analysis of the financial news flow to compute sentiment indicators.
How to Use Sentiment Analysis
As discussed in literature value investors might use the sentiment analysis to establish what percentage of a company current value is caused by sentiment, and how much is based on real elements about the business itself. This may be of use to find companies that are cheap mainly due to very poor sentiment, or to exit companies that are becoming overpriced due to sentiment. Other investors may find it useful to track the sentiment of companies they follow as indicator that could be correlated to the price in the short term.
Brain Sentiment Indicator monitors public financial news for more than 10000 global stocks from about 2000 financial media sources in 33 languages. Specific stocks can be added upon request. Recently we extended the coverage to major currencies, commodities and crypto.
As a free trial we provide approximately five years of history for a subset of the covered assets and upon request a 30 days access to the daily report corresponding to the full universe.
As additional service we also offer a sentiment API that takes a financial text as input and returns a sentiment score.