Decision-Making Simulator for Buying and Selling Stock Market Shares Based on Twitter Indicators and Technical Analysis

• Main Authors: Fernandes, Deborah S. A., Fernandes, Marcio G. C., Borges, Geovany A., Soares, Fabrizzio A.A.M.N.
• Format: Conference Proceeding
• Language: English
• Subjects: Companies; Decision making; Microblog; Mood; Sentiment analysis; stock market; Stock markets; Technical Analysis; Twitter
• ISSN: 2577-1655
• DOI: 10.1109/SMC.2019.8913879

Microblogs have increasingly been used by the crowd to post their thoughts and speeches about everything. Thus, one of the themes is the stock market that is exploited by many researchers. Although obtaining indicators of stock market dynamics through online social networking has been gaining the attention of academia and the business world, there are many questions to be analyzed about their effectiveness. This work presents the development of a simulator for buying and selling stocks based on microblog data. Therefore, we collected tweets about the Brazilian stock exchange market, produced indicators using sentiment analysis and performed a set of heuristics for decision making. The first technique is the composition of the decision-making strategy for buying and selling stocks composed of pure logic, tweets volume thresholds, profit objective and technical analysis in the stock exchange. The contribution of this work is a decision-making architecture using Twitter's data as an index of future expectation about the social mood that may change the market behavior. As a result, it has pointed to attractive profits for Brazilian market actions and many issues that can be analyzed and improved. Our study showed that it is possible to obtain market dynamics information on the Twitter social network and this information could be used to compose stock buying and selling strategies.