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Omega is a system designed to manage and analyse stock prices

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Omega

Direction of development

  1. Previous trends and analysing turning points
  2. short hold 10minutes to 10 days
  3. news and live time analysis

Analysis

  1. Technical analysis: analysing past stock prices and volume to identify patterns and predict future trends
  2. Fundamental analysis: studying the company's financials statements and economic indicators to determine the comapny's overall health and potential stock performance (advanced to automate)
  3. Sentiment analysis: analysing public opinion of the company Ie. News sources, social media (reliability issues)

Time-Series Forecasting: Using LTSM Model

  • Time-series forecasting uses time dimensional data
  • non-stationary data: data whose statistical properties (ie. Standard deviation and mean) are not constant over time (metrics can vary over time)
  • LTSM model long short term memory artificial recurrent neural network
  • store info over a period of time

Basic stock terms

  1. Open: the opening stock price recorded everyday when the market opens
  2. High: Highest point of a stock price
  3. Low: Lowest point of a stock price
  4. Close: The closing price of a stock price
  5. Volume: the number of shares traded in a particular stock, index, or other investment over the day (according to the stock_data.csv case)
  6. Dividends: a payment to shareholders that consists of additional shares rather than cash For example, if a company issues a stock dividend of 5%, it will pay 0.05 shares for every share owned by a shareholder Shareholders cut to of the company's profit Traders thus buy the shares at least a month before the dividend is announced. The news of a dividend being announced increases the price of the stock. Once the dividend is distributed, the traders then sell the shares and earn good profits. This is just another way in which a dividend affects the prices of the shares.

The Market Cycle Model

trends:

  1. Primary trend: 9-24 months
  2. Intermediate trend: 6weeks to 9 months
  3. short term: 2-4 weeks
  4. Intraday trends: hourly or even tick-by-tick movements respond aggressively to news regarding the stock-knee jerk reflexes
  5. Secular trends: All time market stock price (25 years)-changes according to bigger picture (ie. need for blacksmiths has declined to zero since the industrial revolution-before then this so calle secular trend looks good.changing point of secular trend (downwards)== fuck off)

#https://medium.com/quant-factory/predicting-stock-prices-volatility-to-form-a-trading-bot-with-python-394a2c272f70

#https://medium.com/@mrconnor/an-automated-stock-trading-system-using-deep-learning-63803914cead

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Omega is a system designed to manage and analyse stock prices

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