Stock

Portfolio
Trading Bot
What’s the trade secret?
 Stock Portfolio Trading Bot
BATCH: 3

INTERNAL GUIDE:
Mr. N. Venkateswarlu
Assistant Professor
Department of CSE The Candlestick Team:

Lade Srini 20251A05D3

Lode Harini 20251A05D5
Soumya Oruganti 20251A05E0
Rokati Manisha 20251A05E2
Kavya Sree Natti 20251A05E9
 TABLE OF CONTENTS

01 02 03
INTRODUCTION EXISTING SYSTEM PROPOSED SYSTEM
Introduction, Existing Models, Project Plan, Features of
Statistics, Stock Market Features of existing proposed bot, Advantages
bots, Drawbacks of Proposed System

04 05 06
METHODOLOGY TECH STACK CONCLUSION
Flow Diagram, LSTM, Hardware & Software Summary, Future Scope
Sentiment Analysis, Requirements
Attention Mechanism
01 INTRODUCTION
Introduction,
Statistics, Stock Market
CONTEXT

Chatbots are prevalent. AI ML can be

extended to more complex applications.

● Age of AI, intelligent machines

● Most of transactions of day traders
are not profitable
● Help busy individuals in trading
● Can serve as a learning mechanism
or assistant to select stocks
 STATISTICS

1.2Cr 5L 120Tr$

Worth of Exchanges Day Traders Market Cap

In the FY 2022, individual Around 5L day traders, Market capitalisation

investors 5Cr active investors around the world by
companies
 INTRODUCTION
● The stock market is a public market for trading stocks, which represent
ownership in publicly traded companies.
● The stock market allows companies to raise capital by selling shares
to investors, and investors to buy and sell shares in the market.
● Stock prices go up and down based on supply and demand - if more
people want to buy a stock than sell it, the price goes up, and vice
versa.
● A portfolio is a collection of financial investments like stocks, bonds,
funds.
● A trading bot is a computer program designed to automate the process
of buying and selling stocks in a market.
 AIM/OBJECTIVE

● To create an intra-day Stock Portfolio

trading bot which maximises profitable
transactions.
● To make it reliable, efficient and
user-friendly
02 EXISTING
SYSTEM
Existing Models, Features of existing
bots, Drawbacks
DIFFERENT MODELS OF BOTS
PIONEX HAASONLINER

Grid Bot, Arbitrage Recreate any trading

Bot, DCA Bot, and strategy (Grid, DCA,
t
Scalper) with Bots
12 others.

3 COMMAS BITSGAP

DCA Bot, HODL Bot,

Options Bot, GRID High Frequency Algorithm
Bot, Smart-Trades Trading
FEATURES OF EXISTING BOTS
PIONEX
Pionex is worldʼs 1st exchanges with 12 Free trading bots. Users can automate their trading 24/7
without always checking the markets

● Pionex provides 16 free trading bots for retail investors

● The trading fee is the lowest compared to most of the major exchanges
● Spot-Futures Arbitrage bot helps retail investors to make passive income
with low risk. The estimated return for this strategy is 15~50% APR.
● Grid Trading Bot allows users to buy low and sell high in a specific price
👎 rang
Conse.

1.No support for custom trading strategies.

2.No option for “short” position
FEATURES OF BOTS
3 COMMAS

Committed to helping traders reap maximum profit success by minimizing investor risks
and limiting exposure to losses.

● Quickly access bot presets, templates and strategies via the marketplace
● Next-level data feeds

👎 Cons

1.Detailed interface may feel overwhelming to begin with – need some time to adjust
2.Hard to measure profitability as it depends on user settings
DRAWBACKS OF EXISTING SYSTEM

● Existing bots almost always do

not result in profitable
transactions
● Are not rigorously tested and
not reliable
● Too complicated for beginner’s
use
● Over-optimisation
● Security threats
 03 PROPOSED
SYSTEM
Project Plan, Features of proposed bot,
Advantages of Proposed System
 PROJECT PLAN

PHASE 1 PHASE 2
Build a stock Build a bot and
market prediction test its
model performance
 BOT UPDATED
Identify Updated with
profitable latest stock data
transactions

FEATURES

MODEL AUTOMATED RELIABLE

Prediction of Interface with Backtesting of
Stock Market paper trading model to
prices site evaluate
ADVANTAGES OF
PROPOSED SYSTEM
Our trading bot addresses the drawbacks
of existing system:

● Sentiment Analysis
● LSTM with attention mechanism
● Automated & Easy-to-use
● Feedback Loop
● Transparent about working
04 METHODOLOGY
LSTM
SENTIMENT ANALYSIS
ATTENTION MECHANISM
FLOW DIAGRAM
 ALGORITHMNS

LSTM SENTIMENT ATTENTION

ANALYSIS MECHANISM
 LSTM
Long Short Term Memory Networks is an
advanced RNN (Recurrent Neural Networks), a
sequential network, that allows information to persist.
RNNs work-they remember the previous information
and use it for processing the current input.
➢ The shortcoming of RNN is, they can not
remember Long term dependencies due to
vanishing gradient.
➢ LSTMs are explicitly designed to avoid long-term
dependency problems.
 Sentiment
Analysis
(also known as opinion mining or emotion AI)

➢ Sentiment analysis is regarded as the

key technique for realizing strong
artificial intelligence and machines that
can entirely understand human
languages.
➢ A basic task in sentiment analysis is
classifying the polarity of a given text at
the document, sentence, or
feature/aspect level—whether the
expressed opinion in a document, a
sentence or an entity feature/aspect is
positive, negative, or neutral.
ATTENTION MECHANISM
Attention is a technique that is
meant to mimic cognitive attention.

Goal- is to come up with a probability

distribution, which says, at each time
step, how much importance or
attention should be paid to the input
words.
3 sub-parts/ components
➢ Encoder
➢ Attention
➢ Decoder
05 TECH STACK
Hardware & Software Requirements
HARDWARE

➢ Intel i5/AMD
Ryzen 5

➢ 16GB RAM

➢ NVidia K80 GPU

in Kaggle kernels
SOFTWARE
Kaggle Notebook
Flask
REST API
Python Libraries:
● TensorFlow
● SciPy
● Pandas
● Yfinance
● requests
● TA-Lib
● Keras
06 CONCLUSION
Summary, Future Scope
SUMMARY

The proposed model considers

both history prices as well as public
sentiment in a reinforced manner.
The trading bot uses this model to
make profitable trades.
 FUTURE SCOPE

● Integrate bot with a broker in

the Stock Market
● Test model’s predictions and
bot’s profits with real market
conditions
● Test the bot rigorously in order
to prove reliability
● Make it a commercial service
 THANKS
Do you have any questions?
What’s the trade secret? It’s our bot.
Batch 3, III CSE-C
G. Narayanamma Institute of Technology & Science

Lade Srini 20251A05D3

Lode Harini 20251A05D5
Soumya Oruganti 20251A05E0
Rokati Manisha 20251A05E2
Kavya Sree Natti 20251A05E9

Presentation by The Candlestick Team.