Stockmood apparently use artificial intelligence to fish through the national press (US, that is) and gather sentiment about particular shares:
“Mood measures how a stock’s price responds to news. When a stock is in a good Mood that means the stock price responds very favorably to good news, and has a tendency to shrug off the bad news. The opposite is true for bad Mood. The more this happens the stronger the mood in that direction gets.
When both the mood and the sentiment values for a stock reach certain empirically determined thresholds, a Sentiment Alert is issued, indicating a relatively high probability of movement over the next 5 days. Sentiment Alerts come in two flavors: High Optimism Alerts, and High Pessimism Alerts. These Alerts suggest that a stock may be at a peak of optimism or a peak of pessimism, respectively. Our statistical analyses have shown that, at the time of an High Optimism or High Pessimism Alert, trading in the opposite direction of the news can provide significant edge.”
So I have joined up and giving it a whorl. $2000 worth of theoretical shares in 4 companies currently. I’m anticipating trading once a day. Commissions are excluded and prices will be slightly delayed.