Using Logistic Regression to Predict Stock Trends Based on Bag-of-Words Representations of News Article Headlines

We attempted to apply a novel approach to stock market predictions. The Logistic Regression machine learning algorithm (Joseph Berkson) was applied to analyze news article headlines as represented by a bag-of-words (tri-gram and single-gram) representation in an attempt to predict the trends of stock prices based on the Dow Jones Industrial Average.