Our visualization tools, market indicators and trading ideas
Dashboards show a broad overview of sentiment levels in entire asset classes, in a highly condensed view. Data is available for 31 countries, 21 currencies, 16 commodities, 23 US sectors and the Dow 30 stocks.
Benefits - Dashboards are an great way to monitor global trends in market sentiment, and across entire asset classes. For example, a spike in BUZZ for Wheat in the prior week would trigger concern as BUZZ is typically followed by higher price volatility. We can also look at PRODUCTIONVOLUME and CONSUMPTIONVOLUME of Wheat to discern whether it was production or consumption concerns that triggered the influx of news.
Top Lists shows the top and bottom 5 assets ranked by each sentiment variable. Data is available for 31 countries, 21 currencies, 16 commodities, 23 US sectors and the Russell 1000 stocks.
Benefits - Studies have shown that sentiment impact on prices often occurs at the extremes. Using top lists to monitor outlier assets will be useful when assessing a portfolio's sentiment risks or when evaluating a trade signal. For example, seeing Target (TGT) at the top of UNCERTAINTY list will reinforce a BUY signal as high UNCERTAINTY in the equity markets tends to reflect overselling which forecasts positive future returns.
Monthly Market Reports
Written by MarketPsych CEO Richard Peterson, the monthly market report expands on the free newsletter by including more commentary and adding trading recommendations.
Benefits - The report discusses important market events and behavioral trends, backed by sentiment data and Richard's extensive market experience. Previous topics of discussion include the Eurozone crisis, the Gold bubble and the rise of crypto-currencies. The trading recommendations in the monthly report are derived from both our quantitative models and personal selections by Richard.
The charting tool provides access to our key sentiment data, covering 119 countries, 29 currencies, 34 commodities and more than 2000 US and non-US equities, with included price data. Data is available from 1998 and updated daily on our servers. The number of TRMI is restricted for the individual professional plan (see footnote).
Benefits - For the detail-oriented investor, the charting tool allows historical investigation into price-sentiment co-movements to gain new market insights. For example, increases in INNOVATION typically suggest increased future returns in technology stocks.
Classification trees shows the best combinations of sentiment data that have been driving asset prices. These trees are generated through machine learning algorithms. The trees are computed on a daily, weekly and monthly basis, over different periods. Data is available for 31 countries, 21 currencies, 16 commodities, 23 US sectors and the Dow 30 stocks.
Benefits - Sentiment effects are likely to occur from a multitude of emotions. For example, there can be significant interactions between FEAR and ANGER in affecting decisions. Classification Trees not only shows which sentiment affects prices, but also the thresholds and combinations for such effects. For maximum utility, investigate the interactions directly on the charting tool on different periods.
MACDs uses crossover timings of moving averages for each TRMI to investigate which TRMI delta is best predicting stock prices. The MACDs are fitted for both recent and past periods, and the best performing ones are displayed. Data is available for currencies, commodities, etfs and equities.
Benefits - Large movements of sentiment from its long term trend are also a likely source of sentiment price effects. For example, moving average crossovers of LITIGATION can represent extended concern from investors that filter into stock prices. As with trees, use MACDs with the charting tool to discover more ideas.
Get direct access to MarketPsych's proprietary trading models based on quantitative analysis of sentiment data. The strategies currently covers countries, currencies, US sectors and US individual stocks. MarketPsych's models are typically market-neutral, but also include directional signals based on decision rules. We focus on both weekly strategies, and longer term investments. The strategies are all back-tested for historical performance, and are updated weekly with scores on each recommendations.
Access MarketPsych's white papers taking an in-depth look into the motivation and methodology behind the research. For example, the TRMI white paper links to various studies supporting the importance of various dimensions of sentiment and explains MarketPsych's language processing framework. The country strategy white paper looks at regression results of future returns on individual TRMI, discusses significant variables and the robustness of models built upon TRMI.
At MarketPsych we constantly innovate and create new ways of leveraging sentiment data. We have economic models that predict PMI and other economic indicators. We work with companies to manage earning conferences calls by studying the price impact of prior transcripts. We also provide customized sentiment reports and studies for investment banks and hedge funds.