Forex-foreteller: currency trend modeling using news articles

  • Authors:
  • Fang Jin;Nathan Self;Parang Saraf;Patrick Butler;Wei Wang;Naren Ramakrishnan

  • Affiliations:
  • Virginia Tech, BLACKSBURG, Virginia, USA;Virginia Tech, BLACKSBURG, Virginia, USA;Virginia Tech, BLACKSBURG, Virginia, USA;Virginia Tech, BLACKSBURG, Virginia, USA;Virginia Tech, BLACKSBURG, Virginia, USA;Virginia Tech, BLACKSBURG, Virginia, USA

  • Venue:
  • Proceedings of the 19th ACM SIGKDD international conference on Knowledge discovery and data mining
  • Year:
  • 2013

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Abstract

Financial markets are quite sensitive to unanticipated news and events. Identifying the effect of news on the market is a challenging task. In this demo, we present Forex-foreteller (FF) which mines news articles and makes forecasts about the movement of foreign currency markets. The system uses a combination of language models, topic clustering, and sentiment analysis to identify relevant news articles. These articles along with the historical stock index and currency exchange values are used in a linear regression model to make forecasts. The system has an interactive visualizer designed specifically for touch-sensitive devices which depicts forecasts along with the chronological news events and financial data used for making the forecasts.