AI Stock Analysis: Building a Powerful Tool for Informed Investment Decisions

🌈 Abstract

The article discusses the development of an AI-powered stock analysis tool using Langchain, OpenBB, and Anthropic's latest language model, Claude 3 Opus. It covers the key components of the tool, including the Langchain AgentExecutor, OpenBB tools, Anthropic's Opus language model, and the FastAPI server. The article also provides a code walkthrough, highlighting the setup of the AgentExecutor, the prompt template, and the custom OpenBB tools. The goal is to create a powerful application that provides traders and investors with valuable insights and recommendations for making informed investment decisions.

🙋 Q&A

[01] Introduction

1. What are the key technologies used to build the AI-powered stock analysis tool? The key technologies used to build the AI-powered stock analysis tool are:

• Langchain AgentExecutor: Orchestrates the AI workflow and coordinates the execution of tools and chains.
• OpenBB Tools: Custom tools built using OpenBB's data and analysis capabilities for fetching and analyzing financial data.
• Anthropic's Opus Language Model: Powers the AI agent, interpreting user queries and generating insightful responses.
• FastAPI Server: Exposes the AI-powered stock analysis tool as a web service.

2. What are the potential use cases for Anthropic's Opus language model in the context of stock analysis? According to Anthropic's press release, a strong potential use case for Opus involves the strategic "advanced analysis of charts & graphs, financials & market trends, [and] forecasting".

3. What are the key components of the AI-powered stock analysis agent tool? The key components of the AI-powered stock analysis agent tool include:

• Langchain AgentExecutor
• OpenBB Tools
• Anthropic's Opus Language Model
• FastAPI Server

[02] Code Walkthrough

1. How is the AgentExecutor set up, and what are the key reasons for using XML for prompting with Claude? The AgentExecutor is set up using the create_xml_agent function, passing in the Opus language model, tools, and a prompt. The executor is configured with the agent and tools, and the input type is specified as a Pydantic object. The article mentions that there are a number of key reasons to use XML for prompting with Claude, and Langchain's XML Agent is used to help construct the agentic pipeline.

2. What is the purpose of the prompt template, and what rules are defined for identifying a bullish stock setup? The prompt template defines the overall behavior and capabilities of the AI agent, as well as specific rules and patterns for analyzing stocks. The rules for identifying a bullish stock setup are:

1. Stock's last price is greater than its 20 SMA.
2. Stock's last price is greater than its 50 SMA.
3. Stock's last price is greater than its 200 SMA.
4. Stock's 50 SMA is greater than its 200 SMA.

3. What are the custom OpenBB tools implemented, and what is their purpose? The custom OpenBB tools implemented include:

• get_stock_stats: Fetches historical stock data and calculates various statistics using the quantstats library.
• get_gainers: Retrieves the top gaining stocks.
• get_losers: Retrieves the top losing stocks. These tools provide the AI agent with the ability to quickly identify and analyze relevant stock data, which can then be used to generate insights and recommendations for users.

4. How is the FastAPI server set up, and what is its purpose? The FastAPI server is set up with a root endpoint that redirects to the Swagger documentation. The AgentExecutor is added as a route using the add_routes function from Langserve, mapping it to the /agent endpoint. The purpose of the FastAPI server is to expose the AI-powered stock analysis tool as a web service, allowing users to interact with the tool through a web-based interface.