Forecasting Share Market Movements

Background and Scope

Our client, trading company wanted to develop a software that can forecast the unpredictable share market movement by leveraging Machine Learning technology. The most efficient methodology to achieve this is time series analysis and deep learning, which deals with complex structure easily and extract relationships that further increase the accuracy of generated results.

The client engaged SoftmaxAI, a best machine learning development company India to originate a brand new learning method using time series analysis to understand the co-relation between technical indicators & market sentiments and enhance the probability of making profit.

Our approach

The objective was to provide adequate guidance for the investor by providing various technical indicators of the shares, making it more reasonable and creating fair chances of winning on risky investments.

Creating ML model use various technical indicators and analysis of the twitter tweets and new headlines to reveal the most favourable possibilities of making profit in future.

There are so many factors involved in the prediction of share market such as physical factors vs. physiological, rational and irrational behaviour, etc. All these aspects combine to make share prices volatile and very difficult to predict with a high degree of accuracy. Therefore it was necessary to create a Machine Learning model using various technical indicators & market sentiments by analysing the tweets on twitter and news headlines and anticipates the positive and negative impacts on the share price. Hence, it will help trading algorithm in generating more accurate and robust buy and sell signal generation.

Outcome of our efforts was a ML model which will assist trading algorithm to generate the buy or sell signal for a share. Which have made their algo strategies more profitable.