Skip to Content
The Handbook of News Analytics in Finance
book

The Handbook of News Analytics in Finance

by Gautam Mitra, Leela Mitra
May 2011
Beginner to intermediate
384 pages
12h 28m
English
Wiley
Content preview from The Handbook of News Analytics in Finance

4.13 TRADERS MAY CREATE NEWS

When the price of a stock of a major public company moves significantly, the news media pick up on that event and report the stock move itself as news.

Stock moves are generated by imbalances that occur in the supply–demand equilibrium of a particular stock. Therefore, a news report about a significant shareholder selling a large stake for reasons, which may or may not be related to the company's performance, could create the perception that something is wrong with the company. The same is true about major stake purchases—examples of news media reports in which successful investors like Warren Buffet or investment houses purchase large stakes in public companies are perceived as positive news.

Moreover, many traders use technical indicators which show when a particular stock is “overbought” or “oversold” in the active market. Those technical indicators become “news” for the active traders who watch the stock charts in real time.

Become an O’Reilly member and get unlimited access to this title plus top books and audiobooks from O’Reilly and nearly 200 top publishers, thousands of courses curated by job role, 150+ live events each month,
and much more.

Read now

Unlock full access

More than 5,000 organizations count on O’Reilly

AirBnbBlueOriginElectronic ArtsHomeDepotNasdaqRakutenTata Consultancy Services

QuotationMarkO’Reilly covers everything we've got, with content to help us build a world-class technology community, upgrade the capabilities and competencies of our teams, and improve overall team performance as well as their engagement.
Julian F.
Head of Cybersecurity
QuotationMarkI wanted to learn C and C++, but it didn't click for me until I picked up an O'Reilly book. When I went on the O’Reilly platform, I was astonished to find all the books there, plus live events and sandboxes so you could play around with the technology.
Addison B.
Field Engineer
QuotationMarkI’ve been on the O’Reilly platform for more than eight years. I use a couple of learning platforms, but I'm on O'Reilly more than anybody else. When you're there, you start learning. I'm never disappointed.
Amir M.
Data Platform Tech Lead
QuotationMarkI'm always learning. So when I got on to O'Reilly, I was like a kid in a candy store. There are playlists. There are answers. There's on-demand training. It's worth its weight in gold, in terms of what it allows me to do.
Mark W.
Embedded Software Engineer

You might also like

Market Risk Analysis Volume I: Quantitative Methods in Finance

Market Risk Analysis Volume I: Quantitative Methods in Finance

Carol Alexander
Equity Markets, Valuation, and Analysis

Equity Markets, Valuation, and Analysis

H. Kent Baker, Greg Filbeck, Halil Kiymaz

Publisher Resources

ISBN: 9780470666791Purchase book