Example: Sentiment AI Screener (News + Price Action)

Numbers tell you part of the story. But markets also move on news, headlines, and mood.

A company may post good results, but if the market expected more, the stock can still fall.

This is where sentiment analysis comes in — using AI to read news flow and combine it with price action.

What Sentiment Screening Means

• Positive sentiment: frequent mentions of growth, contracts, profits.
  
• Negative sentiment: words like fraud, penalties, losses.
  
• Neutral sentiment: balanced or routine updates.
  

When combined with technical signals (like price above 200-DMA), this becomes a powerful screener.

The Prompt (How to Ask AI)

Here’s a ready-to-use prompt:

“Scan the last 30 days of news for Nifty 100 companies. Identify sentiment as positive, negative, or neutral, and combine it with price action (above/below 200-DMA). Show results in a table with columns: Stock, Sentiment, Common Keywords, Price vs 200-DMA.”

This blends headlines with charts in one shot.

Sample Output (Mock Example)

At a glance, you see not only the news tone but also whether the stock is trending up or down.

How to Use the Screener

1. Start broad: run the sentiment prompt for Nifty 100 or sector-specific stocks.
   
2. Filter results: focus on companies with positive sentiment and strong price action.
   
3. Double-check: read the actual articles for context — don’t just trust keywords.
   
4. Track changes: run it weekly to see if sentiment shifts over time.
   

Example

Suppose AI shows:

• IT sector stocks have mostly positive news flow (deal wins, hiring plans).
  
• Banking sector has mixed sentiment (NPA concerns vs loan growth).
  If IT stocks are also trading above 200-DMA, they may be worth a closer look.
  

But a bank with “negative” news keywords and price below 200-DMA might be better avoided until conditions improve.

Final Takeaway

Sentiment screeners give you the market’s mood — not just the numbers. When combined with price action, they highlight where optimism or fear aligns with technical strength or weakness.

Use AI to filter headlines, but always cross-check the actual news before acting. The screener is not a tip machine — it’s a shortcut to spot patterns in how the market feels about a stock.