

Firms Analyze Tweets to Gauge Stock Sentiment - softdev12
http://www.wsj.com/articles/tweets-give-birds-eye-view-of-stocks-1436128047

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s_q_b
This has been around forever. I wrote a research paper on using microblogging
services to predict political events about a half decade ago.

Three years ago my friend wrote his senior thesis on using it to predict stock
market pricing. Brilliant guy, Microsoft Research now, and the conclusion was
that once you factor in bad entity resolution (AAPL vs "this apple is
delicious") and account for transactions fees your performance more or less
matches the market.

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seeingfurther
He was WAY too early in 2012 to achieve any sort of statistical significance
in terms of number of traders talking online consistently. I have a client
running 75 different strategies just on our data alone and there are quite
possibly hundreds more, not all of which involve transactions. The ability to
predict volatility is one that comes to mind.

