Smart Stock Trading Recommendations with GPT-4, TwelveData & NewsAPI

What It Does

This template automates stock analysis by combining technical analysis, news sentiment, and real-time market data to generate actionable trading recommendations with confidence scores, risk management parameters, and entry/exit levels.

Why It's Useful

• Data-Driven Decisions: Eliminates emotional trading by synthesizing multiple data sources
• Time-Saving: Analyzes a stock in seconds instead of hours of manual research
• Risk Management: Automatically calculates stop losses and risk/reward ratios
• Real-Time Context: Combines historical trends with breaking news and latest sentiment

How It Works

1. Technical Analysis (TwelveData)

   • Fetches 4-hour, 1-day, and 1-week price trends
   • Calculates moving averages and identifies support/resistance levels

2. News Sentiment (NewsAPI + GPT-4)

   • Pulls recent news articles about the stock
   • Uses AI to score sentiment impact on price (-1.0 to +1.0)
   • Distinguishes between "bad news" and "sell pressure"

3. Live Market Intelligence (Perplexity API)

   • Checks for real-time catalysts (earnings, Fed announcements, rumors)
   • Catches breaking news that historical data might miss

4. Visual Confirmation (Chart-Img API)

   • Generates 1-week chart visualization for quick pattern recognition

5. AI Decision Engine (GPT-4)

   • Synthesizes all signals using quantitative decision rules
   • Outputs: BUY/SELL/HOLD verdict with confidence level, entry zone, stop loss, and profit target

Trade Setup Output

Each recommendation includes:

• Verdict: BUY, SELL, or HOLD (with confidence score)
• Entry Zone: Optimal price to enter
• Stop Loss: Risk protection level
• Target: Profit objective
• Risk/Reward Ratio: Trade viability metric

Required API Keys

• TwelveData (stock prices)
• NewsAPI (news articles)
• OpenAI (GPT-4 analysis)
• Perplexity (live sentiment)
• Chart-Img (optional - for chart visualization)