News Sentiment

Related commands

How it works

How Sentiment Analysis Works

Talos aggregates recent news headlines for a stock from financial news sources and applies natural language processing to score the overall sentiment. Each article contributes to an aggregate score ranging from strongly negative (−1) to strongly positive (+1).

Sentiment as a Trading Signal

Academic research shows positive aggregate news sentiment correlates with short-term positive price momentum (the 'sentiment drift' effect). However, sentiment can reverse quickly — markets can be irrationally optimistic or pessimistic.

Frequently Asked Questions

How is news sentiment calculated?

Talos aggregates recent news headlines for a stock and scores their overall sentiment using natural language processing. Scores range from strongly negative to strongly positive, with individual article titles surfaced for transparency.

Does news sentiment predict stock price?

News sentiment is a leading indicator, not a deterministic predictor. Academic research shows significant positive correlation between aggregate sentiment and short-term price movements, but many other factors influence price.

What is Talos?

Talos is a natural-language market intelligence terminal. You type commands like 'Analyze NVDA' or 'Optimize AAPL MSFT' and Talos runs quantitative and AI-powered analysis instantly.

Is Talos free to use?

Talos is free to access. Simply visit https://stochastics.vercel.app/ and start typing commands in the terminal.