BestX NFP Sentiment Index

In our latest research article we turn our attention to the deployment of big data in order to try to predict NFP. As an alternative approach to the traditional econometric models, we have researched the use of a simple linear model, but one that is based on the incredibly rich data set that is now available via Google Analytics. Testing indicates that the model produces improved predictions versus the market consensus. Such a prediction could obviously add value in helping trade timing when executing on NFP days, and also provide an additional sentiment indicator for more generic risk management applications.

Please email contact@bestx.co.uk if you are a BestX client and would like to receive a copy of the paper.