Project
Project
Project
PRESENTATION
Among the multiple factors that influence stock prices, and the major one is
what’s happening around the globe(news), which is derived from the news.
Our objective is to analyze this feedback and predict its potential impact on the
stock's price.
Objective Of This Project
The objective of this project is to help People predict stock prices using
sentiment analysis on news.
This involves using natural language processing (NLP) techniques to
analyze the sentiment of news (positive, negative, neutral) related to
specific stocks or the stock market in general.
By gauging the sentiment expressed in these news headlines, we aim to
develop a predictive model that can potentially provide insights into
future stock price movements.
Idea Of this Project :
The idea is to make an AI powered tool using Machine Learning and python with
the help of Natural Language Processing and other methodology.
Unravel Sentiment-Price Relationship: The project uncover insights into the
relationship between sentiment and stock movements. This could include
identifying sentiment that strongly affects the price movements and when it
doesn't.
Visualization of Results: Demonstrate the model's performance using confusion
matrices. These visualizations can help convey the effectiveness of the model to
stakeholders.
This project is for :
1. We are aiming to make an predictive model which will utilize sentiment analysis to forecast potential
stock price movements.
2. This project aims to empower the general public with information that can help them make better
investment decisions.
3. This will make it easier for us to understand the relationship between people's thoughts about a stock or
company and its effect on the price.
4. Financial analysts, portfolio managers, and other financial professionals can use the insights to enhance
their decision-making processes.
Technology & Libraries used :
1. Google Colab
2. Python
3. Flask
4. Html+CSS
5. Machine Learning algorithms - LSTM
6. Natural Language Processing - NLTK
7. Libraries - Pandas, Keras, Scikit-learn, TextBlob, Matplotlib and Seaborn
8. Classification Report, Confusion Matrix,Accuracy Score
A summary of what we have done till now:
Problem Definition:
● Clearly define the problem statement, which is sentiment analysis of financial news data.
● Specify the goal of the analysis, such as predicting sentiment (positive, negative, or neutral) based on news
descriptions.
Data Collection and Understanding:
● Identify sources for financial news data, such as Kaggle.
● Collect a diverse dataset of financial news articles along with their corresponding sentiment labels.
● Understand the structure of the data, including the format of news articles, sentiment labels.
Data Preprocessing:
● Clean the text data by removing any irrelevant information, such as special characters, HTML tags, or punctuation.
● Tokenize the text data by splitting it into individual words or tokens.
● Remove stop words (commonly occurring words that do not carry significant meaning) from the text.
● Apply stemming or lemmatization to reduce words to their base forms.
Model Selection and Architecture:
● Choose an appropriate machine learning model for sentiment analysis.
● Such as LSTM (Long Short-Term Memory), which are well-suited for sequential data like text.
● Design the architecture of the model, including the number of layers, type of activation functions, and regularization
techniques.
Model Training:
● Split the dataset into training, validation, and testing sets.
● Train the sentiment analysis model on the training data using appropriate optimization algorithms and loss functions.
● Monitor the model's performance.
Model Evaluation:
● Evaluate the trained model's performance on the testing set using metrics such as accuracy and confusion matrix.
● Analyze the model's predictions using confusion matrices to understand its strengths and weaknesses.
Model Deployment:
● Deploy the trained sentiment analysis model in a production environment, such as a web application.
● Monitor the model's performance over time and consider retraining it periodically with new data to maintain
accuracy.
Model Representation using HTMl CSS and Flask:
● Evaluated the model on the test dataset.
● Calculated accuracy, confusion matrix, and classification report.
● Plotted the confusion matrix heatmap and visualized the model architecture.
Data Flow Diagram
Level - 0 DFD
Level -1 DFD
m
Level 2 DFD
Results:
Conclusion :