Stocks Sentiment Signals: A Guide to Reddit’s Top 50 Stock API
In my approach to stock trading, I predominantly rely on technical analysis to make informed decisions. However, I’ve come to recognize the significance of fundamental analysis, realizing its potential to bring on the table valuable insights capable of transforming an entire investment strategy. Market sentiment, a crucial factor often overlooked, plays a pivotal role in shaping stock movements. Identifying the “hot” stocks and understanding the prevalent discussions surrounding them can be challenging, yet not impossible.
The GameStop story of 2021 stands as a testament to the influence forums can wield on the financial landscape.
During one of my research sessions, I came across a free API on Reddit, courtesy of a third-party provider named Tradestie. This API provides a list of the top 50 stocks being discussed on Reddit, completed with sentiment analysis of the participants. The API refreshes every 15 minutes, recalculating the sentiment based on all comments made up to that point, which is a pretty decent glimpse into the market sentiment dynamics.
While I was unable to find specific details about the range used by this API for sentiment scoring, it appears to follow the standard range of -1 to 1. Here, -1 signifies extremely negative sentiment, 0 indicates neutrality, and 1 denotes…
