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Showing posts with the label sentiment analysis in stock trading

πŸ—ž️πŸ’Ή News Sentiment Analysis – NLP-Based Headline Trading Using Python

  The stock market reacts to news in real-time — but what if you could read the mood of the news automatically and trade before everyone else? Welcome to the world of News Sentiment Analysis using NLP (Natural Language Processing) . In this blog, we’ll explore how to use headlines, AI, and Python to create a headline-based trading strategy . πŸ€” Why Use News for Trading? Market-moving news breaks every second — earnings results, government policies, global crises, etc. Traders often react emotionally, but AI can do it smarter. By using NLP models , we can: Detect positive or negative market sentiment Predict possible stock movement Automate buy/sell decisions using logic, not fear πŸ” What is Sentiment Analysis? Sentiment analysis is an NLP technique used to determine the emotional tone behind a piece of text. Example: “TCS reports record profit” → Positive “Infosys faces data breach scandal” → Negative We can score these headlines and align them with...