International Research journal of Management Science and Technology

  ISSN 2250 - 1959 (online) ISSN 2348 - 9367 (Print) New DOI : 10.32804/IRJMST

Impact Factor* - 6.2311


**Need Help in Content editing, Data Analysis.

Research Gateway

Adv For Editing Content

   No of Download : 621    Submit Your Rating     Cite This   Download        Certificate

A STUDY INTO THE IMPACT OF SOCIAL MEDIA ON THE STOCK MARKET

    3 Author(s):  DEEPIKA, RAJEEV RAMESH, EDWIN P VINCENT

Vol -  9, Issue- 1 ,         Page(s) : 274 - 284  (2018 ) DOI : https://doi.org/10.32804/IRJMST

Abstract

News and information play a pivotal role in how decisions are made. Financial information arising from various platforms influence human behavior and directly influences their investment patterns. Twitter is one such news platform that grabs investor attention and impacts their future decisions. This study aims to find a relation between tweets corresponding to a particular stock and its impact on investor patterns. In addition, we aim to find a possibility of using Google Trends data to predict stock prices and trade volume. This study is carried out in terms of an Indian perspective considering Indian companies and the activity on twitter amongst Indian users. We aim to determine the factors and conditions responsible for causing changes in stock price and trading activity. We also address the limitations to this process considering the possibility of noise trading and the limited users on the twitter platform. An overall conclusion is arrived by finding a correlation between the two and the impact one variable has on the other.

1. Ricciardi, V., & Simon, H. K. (2000). What is Behavioral Finance? Business, Education and Technology Journal, 1-9.
2. Barber, B. M., & Odean, T. (2007). All That Glitters: The Effect of Attention and News on the Buying Behavior of Individual and Institutional Investors. Advance Access publication, Oxford University, 785-818.
3. Tetlock, P. C. (2005). Giving Content to Investor Sentiment: The Role of Media in the Stock Market. Journal of Finance, 1-51.
4. Barber, B. M., & Odean, T. (2006). All that Glitters: The Effect of Attention and News on the Buying Behavior of Individual and Institutional Investors. 1-51.
5. Fang, L. H., & Peress, J. (2008). Media Coverage and the Cross-Section of Stock Returns. The Journal of Finance, Vol. 64, No. 5, pp. 2023-2052, 2009, 1-45.
6. Hou, K., Xiong, W., & Peng, L. (2009). A Tale of Two Anomalies: The Implications of Investor Attention for Price and Earnings Momentum. 1-44.
7. Drake, M. S., Roulstone, D. T., & Thornock, J. R. (2014). Investor Information Demand: Evidence from Google Searches Around Earnings Announcements. Journal of Accounting Research, 1-55.
8. Bollen, J., Mao, H., & Zeng, X.-J. (2010). Twitter Mood Predicts the Stock Market. Journal of Computational Science .
9. Da, Z., Engelberg, J., & Gao, P. (2009). In Search of Attention. AFA 2010 Atlanta Meetings Paper, 1-45.
10. Li, J., & Yu, J. (2012). Investor Attention, Psychological Anchors, and Stock Return Predictability. Journal of Financial Economics (JFE), Vol. 104, pp. 401-419, May 2012, 1-46.
11. Kita, A., & Wang, Q. (2012). Investor Attention and FX Mark

*Contents are provided by Authors of articles. Please contact us if you having any query.






Bank Details