Smart Stock: Intelligent stock prediction and portfolio optimisation for data-driven investing
Project Overview
Smart Stock is an intelligent investment analytics system designed to help investors make confident, data-driven portfolio decisions. The platform combines short-term stock trend prediction with risk-aware portfolio optimisation, enabling users to balance potential returns against acceptable risk levels. By translating complex market signals into clear insights and actionable recommendations, Smart Stock supports faster, more informed investment decisions.
Problem Statement
Individual and small-scale investors often struggle to make timely portfolio decisions due to limited short-term market visibility. Manual analysis of technical indicators is time-consuming, prone to error, and difficult to scale across multiple assets. Additionally, investors faced challenges in allocating capital effectively, often overexposing portfolios to risk while chasing higher returns.
Key Findings
- Predictive Value of Technical Indicators: Strong correlations were identified between short-term stock movements and indicators such as RSI, moving averages, and price patterns, improving the reliability of near-term market signals.
- Hybrid Signal Advantage: Combining price trend signals with volatility metrics produced more stable and reliable portfolio outcomes than single-indicator approaches, reducing exposure to sudden market fluctuations.
- Risk-Aware Allocation: Investors responded positively to transparent, interpretable portfolio recommendations that clearly balanced risk and return, building confidence and trust in decision-making.
Implemented Solution
An intelligent analytics and recommendation engine was developed to streamline stock analysis and portfolio construction:
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Stock Trend Prediction:
A classification model was built to predict next-day stock movement categories (Bad, Neutral, Good), enabling investors to anticipate short-term trends with confidence and respond proactively to market changes.
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Portfolio Optimisation Engine:
The system recommends capital allocation strategies based on risk-adjusted returns, helping users diversify intelligently while maintaining exposure to growth opportunities without excessive risk concentration.
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Interactive Visualisation Layer:
A user-friendly interface was created to visualise stock forecasts, technical indicators, and portfolio recommendations, making complex analytics accessible to non-technical investors through clear, intuitive insights.
Results
Smart Stock delivered measurable improvements in investment decision-making and portfolio performance. The trend prediction model achieved 82% accuracy, providing reliable short-term insights. Optimised portfolio recommendations improved return consistency by 18%, reducing volatility and downside exposure. Overall, the platform significantly enhanced decision-making speed, confidence, and clarity for investors seeking structured, data-backed investment strategies.