Abstract
This chapter provides an overview of an important factor in financial markets, sentiment. Market pricing is influenced by how traders react to information and the market and can sometimes be “unfair”. Behavioral finance can explain some “irrational” investment behavior and pricing bias in the market. The sentiment is widely used today, including in the stock and crypto market, and this article briefly introduces sentiment indicators and sentiment analysis methods to evaluate it.
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Zhang, Q.T., Li, B., Xie, D. (2022). Sentiment Factors in Finance. In: Alternative Data and Artificial Intelligence Techniques. Palgrave Studies in Risk and Insurance. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-031-11612-4_9
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DOI: https://doi.org/10.1007/978-3-031-11612-4_9
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