Feeling the Market's Pulse with Google Trends
International Federation of Technical Analysts' Journal, 2015 Edition
7 Pages Posted: 29 Sep 2014 Last revised: 4 Apr 2016
Date Written: October 9, 2014
This article explores how Google Trends has been applied in different disciplines and the relevance of search query data to financial markets. We contend that if Google Trends can be used to recover retail investor interest in a particular security, market or issue, it can provide valuable information to a technical analyst. We propose possible applications of Google Trends to improve existing concepts in technical analysis (price movements, trend analysis, oscillators nd trading bands) and demonstrate how it can act as a useful tool to improve signal reliability. In addition, we suggest other areas that could benefit from the use of this data source (volume analysis, sentiment analysis and event studies).
Keywords: Google Trends, Technical Analysis
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