Integrating News Into Automated Trading

[hihi]

Quote from Norm:

I would like to automate my intraday trading. However, I do pay attention to news and take it into account when trading.

Is there a way to account for news when automating trading/

Thanks,
Norm

An automated trading system is a random game and the news are part of it.
Regards.

 

[chs245]

Quote from rufus_4000:

I know a system run by a huge treasury trader that downloads the Bloomberg headlines using the Bloomberg API (client side), so that it would react to economic events a fraction of second faster than human traders. The system just do some very simple text parsing on the economic announcement (since they are basically formulaic), and determine what the direction of the trade. So it avoids any kinds of semantic understanding, AI, linguistics, etc.

It was an interesting setup, but the system is watched by his clerk all the time, in the event that the system would not interpret the announcement correctly. But the trader was huge enough that a +/- $50k on the event don't make that big of a different to him. And if he is right >= 60-70% of the time, he is happy.

I was told BB does not have an API for news. You can not analyse the bloomberg newsfeed outside bloomberg. Can you check with your friend how he has done it to do it after all ?

OLiver

 

[psytrade]

Portfolio123.com translates fundamental news to trade on once you specified what the fundamentals mean to your system.

 

[rufus_4000]

Quote from chs245:

I was told BB does not have an API for news. You can not analyse the bloomberg newsfeed outside bloomberg. Can you check with your friend how he has done it to do it after all ?

OLiver

If I remember correctly, his developer automated the news request, and then screen scrape the resultant screen. I am not sure. I can not ask since I am now in a competitive situation.

 

[bitrend]

Quote from Norm:
I would like to automate my intraday trading. However, I do pay attention to news and take it into account when trading.

Interpretation of news! That's separate human skill from computer, we're still good than machine in interpretation of news. This is an ambitious project. I think the artificial intelligence of today is not yet very good to deal with it, maybe in the future. If successful, you will replace Wall Street's traders with robots, and robot trades against another robot like in chess game, one computer plays against another computer, no one chess master had imaged 100 years ago that they could be beaten by machine. Again, in Wall Street, maybe computer will be superior, who know in the far future.