The question around using social media insights to predict stock market trends has been an ongoing conversation for years with many theories being tossed around, though what’s actually working today and produces results?
The simple answer is yes, you can use social media data to predict stock market trends if you have the right analytics/tools in place and are serious about making moves that dig deeper than simply scratching the surface (what most people see).
Major players in the game (top hedge funds, PE firms, VCs, etc.) see the writing on the wall in the earliest phases while also recognizing solutions that can help them along their decision making process aimed at whether to invest in a particular company (or not) based on a wide variety of factors.
And, after recognizing this wave it’s like getting the Golden Ticket in the Willy Wonka ecosystem: Securing something special that unlocks a world of opportunities and subsequent chocolate delights.
The more targeted answer is: Yes, you can use social media analytics solutions to predict stock market trends and all sorts of other stuff happening in the world, though you have to develop the best recipe that fuses the data/ingredients that matter most so you can actually make sense of everything – and that’s what we do.