MarketReader watches the market throughout every moment of every trading day, searching for price moves that would be considered “significant” to experienced traders.
The instant our system detects a significant market move, it uses a suite of algorithms to find the most likely explanation for why it is happening. It then provides a clear, understandable answer that captures the “cause and effect” of markets.
In a few recent examples, MarketReader provided explanations for why Tesla and Google stock prices were moving hours before the news, and hours before each stock moved significantly further down on the day.
On February 16th, Tesla ($TSLA) announced it would be recalling 362,758 of its Full Self-Driving cars in the U.S. and issuing a software update for affected vehicles. At 12:50pm ET, MarketReader detected that the stock was moving down and identified the newswire headlines as the driver of the price move. Later, between 3:10-3:20pm, the stock started selling off more due to articles being published in the mainstream news, such as TipRanks at 3:11pm.
On February 8th, Alphabet Inc. stock ($GOOGL) dropped 9% after its Bard AI chatbot gave a wrong answer at a launch event. MarketReader automatically provided an explanation for the price move at 8:50am ET, hours before any news outlets, and before GOOGL dropped an additional 5% on the day:
The news was not reported by Bloomberg at all until 10:05am, and no full coverage was released until 11:27am. CNBC did not cover the story until 11:19am.
Watch MarketReader CTO Web Begole explain the GOOGL move in more detail: