Battlefield is set: social media vs. big banks

By | June 26, 2012
Get ready for the battle to begin. This time, it is crowdsourced investor intelligence vs. high-speed automated trading and financial analysts. I've said for quite some time that the financial sector is going to be shaken up, and it looks like that time has begun. The question is: How far will big financial institutions go in order to preserve their current way of doing business?

As to StockTwits itself
I've been hoping for a website like this to come out for quite some time, and  I guess it will still be a while until I sites like these catch up to what I'd like.

What it has:
 – heatmap
 – streaming feeds
 – stock news

What it doesn't have (compared to +finanzen.net, which I like):
 – only US market
 – technical charts
 – background info about the company
 – analyst ratings
 – dividend payout history and payout day listing

Hm… +Nils Hitze do you think the nice folk at the desk across from you can get something like this up for the German markets faster than +finanzen.net can? 🙂

/via +John Foster 

As social tech shakes up finance, StockTwits relaunches with focus on real-time, curation
As more banks flirt with social media, StockTwits rolls out a redesigned website that makes it easier for investors to follow the information and people connected to the companies they care about.

8 thoughts on “Battlefield is set: social media vs. big banks

  1. Aurélien DESBRIERES

    +Sophie Wrobel J'ai l'espoir, et n'apprécie pas trop Napoléon, mais en terme d'armée, l'Homme s'y connaissait, et pour en arrivé à dire que les banque sont plus dangereuses que des armées, c'est qu'il a du avoir quelques déboir avec en sont temps. Le plus étrange, c'est que ce n'est toujours pas régler, comme quoi, l'Homme frôle plus l'Idiocratie, qu'autre chose. Bref, il serait temps d'évoluer. Là oui j'ai l'espoir, mais pas en une guerre entre les peuples et des entité masquées que sont les banques, mais en un changement, changement qui en fait semble comme le changement climatique, innéluctable.

    Reply
  2. Sophie Wrobel

    +John Foster you're right, of course. It's a nice complement to a typical trading platform for US markets. But not everything is of pure profit value – it's also a question about convenience. I don't want to have platform and ST open at the same time, because one of them keeps signing me out automatically for inactivity. I don't want to have to open a chart on another site when I could have it conveniently linked on the page. The same goes for dividend information, or for the occasional time in which my husband drops by to ask if I know what xxx company does, or… the list goes on. Like most users, I'm lazy and I want everything important right there and easy to use. The same ideology made tweetdeck as successful as it was, and will likely make the future financial 'big player game changer' also successful.

    Reply
  3. Sophie Wrobel

    +Aurélien DESBRIÈRES Les banques sont seulement dangereuses quand elles obténaient control de la quantité d'argent utilisé dans un pays – comme notre banques aujourd'hui. Mais il n'était pas toujours comme ça… peut-être sont les armées d'internet plus dangereuses que les banques. Un peu d'espoir, s'il te plaît!

    Reply
  4. Jim Lai

    HFT design is adaptive. If crowdsourced traders are successful, the next step would be to seek arbitrage between news and crowdsourced activity.
    http://www.dowjones.com/salesandtrading/low-latency-feeds.asp
    Quote: Power your automated trading and algorithmic applications, cut execution times and perform deeper analysis with corporate news, economic data and key market events delivered via low-latency feed.

    If data mining can discover correlations between news events and crowdsourced trader activity, and make predictions faster than the crowd acts, then they can move quotes ahead of the crowd and profit.

    Reply
  5. John Foster

    StockTwits also has Chart.ly which allows for social sharing of stock charts.  If you're into technical analysis, someone has probably shared the charts with markup for you.  Most users on the site use Finviz.com or FreeStockCharts.com if they want to look at charts in a browser.  Most users have their platform running during the day so dividend and other components can be found by most of the users. From just casual observation Think or Swim, Interactive Brokers, and Lightspeed seem to be very popular software platforms that people use.

    When ST was first created it was adopted by intraday and short term traders.  Dividend and info about a company doesn't matter since most people don't care what a company does, especially in the options markets.  

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