DAT 510 Tool Analysis Week 2
Tool Analysis: Module One
Southern New Hampshire University
Instructor: Kyle Camac
By: Jamel Dumas
The financial trade business sector is definitely a business sector that requires a very developed analytical program. In fact, emerging companies as well as current companies would have to understand that stocks, forex, and commodities are or have been correlated in some way. For instance, prior to 2008 the United States Dollar had a direct correlation to oil, but now there is virtually no correlation. Gold on the other hand has a direct correlation. When gold is up the USD is down and vice versa. This is just a sample of the many correlations that have to be factored in to specific trades.
Today there are multiple companies looking to bring on specific financial markets traders or clients to invest their money, explaining why their technical analysis is the best. From what I have found, there are not many organizations that combine the data from ample sources. They mostly use pivot points, Fibonacci lines, and MACD to analyze the next trade to invest in. Because the trading market determines the price of every good, it is extremely important for the progression of data analytics. The ever fluctuating market trends, the enormous amount of available current data, the historical data of the financial markets, and the in ability to analyze it all correctly is the reason why 95% of traders fail. Therefore, the 5 Vs are extremely important in the consideration of building a system that will analyze the historical data to present data, to produce a forecasted investing intelligent decision.
While knowing the enormous amount of data that comes with investing, it would be a bit difficult to create a mash-up that would be an easy interface to use for the end user. With regards to all the correlations involved in making investing decisions, specific algorithms would have to be implemented into the system that would be able to make an interface for each
Southern New Hampshire University
Instructor: Kyle Camac
By: Jamel Dumas
The financial trade business sector is definitely a business sector that requires a very developed analytical program. In fact, emerging companies as well as current companies would have to understand that stocks, forex, and commodities are or have been correlated in some way. For instance, prior to 2008 the United States Dollar had a direct correlation to oil, but now there is virtually no correlation. Gold on the other hand has a direct correlation. When gold is up the USD is down and vice versa. This is just a sample of the many correlations that have to be factored in to specific trades.
Today there are multiple companies looking to bring on specific financial markets traders or clients to invest their money, explaining why their technical analysis is the best. From what I have found, there are not many organizations that combine the data from ample sources. They mostly use pivot points, Fibonacci lines, and MACD to analyze the next trade to invest in. Because the trading market determines the price of every good, it is extremely important for the progression of data analytics. The ever fluctuating market trends, the enormous amount of available current data, the historical data of the financial markets, and the in ability to analyze it all correctly is the reason why 95% of traders fail. Therefore, the 5 Vs are extremely important in the consideration of building a system that will analyze the historical data to present data, to produce a forecasted investing intelligent decision.
While knowing the enormous amount of data that comes with investing, it would be a bit difficult to create a mash-up that would be an easy interface to use for the end user. With regards to all the correlations involved in making investing decisions, specific algorithms would have to be implemented into the system that would be able to make an interface for each
References: Hines, T., & Bordelon, B. (2014, October 20). Major Financial Data Sources - Finding and using financial data at Princeton University - LibGuides at Princeton University. Retrieved from http://libguides.princeton.edu/finance/majorfinancial. Retrieved on 11/27/2014.