Embracing the Future of Stock Market Analysis: Google Gemini 2.0 Enlightens the S&P 500
Experimenting with Gemini 2.0 Flash – Stream Realtime & Screen Sharing
In today’s rapidly evolving technological landscape, advancements in AI are starting to reshape the way we approach stock market analysis. One such breakthrough that’s come to my attention is from Google’s Gemini 2.0 Flash experimental feature, which includes a ‘Stream Realtime’ option. This, when combined with it’s ‘screen sharing’ capabilities, presents a fresh and innovative approach for DIY investors. I’ve been keen to explore how this tool can enhance our understanding, in this instance by applying technical analysis to the S&P 500 index, through the sophisticated lens of Elliott Wave principles.
Unlocking Insights with Screen Reading Capabilities
It all began with a surprising discovery: Google had unveiled their ambitious Gemini 2.0 Flash. This noteworthy innovation introduces the ability for AI to read what’s on your computer screen, potentially revolutionizing how individual investors engage with their stock portfolios. Venturing into this new realm, I set out to test its prowess in reading and analysing charts, using ShareScope as a testing ground.
The Experiment: Real-Time Chart Analysis
Stepping into the Google AI Studio, my expectations were initially neutral. I activated ‘real-time streaming’, sparking off an array of possibilities. It offered intriguing options like conversing with Gemini, showcasing items via the webcam, and sharing the screen for in-depth analysis.
Before delving into the main task, a couple of technical ‘tweaks’ were necessary. Activating ‘grounding’ set Gemini up to pull data from Google if it needed to expand its understanding. Code execution was also switched on, permitting the AI to craft and run scripts, should the need arise for deeper analytics. This all happens behind the scenes but is necessary for useful outputs to be achieved.
Diving into the S&P 500 with Elliott Wave Theory
With the environment set, it was time to shift focus to the S&P 500 chart hosted on ShareScope. Upon screening this extensive chart, the AI, functioning as an expert in technical analysis, was tasked with utilizing Elliott Wave principles to deduce and give an opinion on where the SP500 is on the (Elliott Wave) market cycle.
Elliott Wave Theory, maintains that market trends manifest in predictable wave patterns, thus providing insightful projections. It’s not a technique that I’ve applied much time to studying, although I do keep an eye on what the Elliott Wave Practitioners are saying about their analysis. In this experiment, the AI suggested that the S&P 500 had extended into a mature phase of a sustained bull market, indicative of a possible, nearing terminal fifth wave.
Interpreting Subwaves: A Closer Look Since 2009
Zooming into data from 2009 onwards, the AI quickly and meticulously unravelled a complex wave structure, that I couldn’t easily see, suggesting five subwaves. A robust initial upward trend was followed by modest corrections, with a vigorous third wave propelling the index up. A subsequent small decline heralded the final elongated wave that Gemini 2.0 suggests we’re in now!
These patterns reaffirmed the prolonged nature of the bull market, honing in on the earlier conclusions. But I couldn’t resist asking my new AI assistant what lay ahead post the fifth wave?
Forecast: Sharp or Gentle Decline?
The critical question then arose: would the culmination of wave five entail a precipitous drop or a more measured decline? I asked Gemini to look at the 5 year Chart…
Gemini 2.0 Flash suggested that, while both scenarios are plausible under Elliott Wave principles, the enduring exuberance of the bull market suggested a sharper downward adjustment was perhaps a stronger possibility.
Implications for DIY-Investors
For the DIY-investor equipped with this AI tool, the potential is vast. This advanced real time ‘screen sharing’ AI assisted analysis serves not only as a theoretical exercise but also as a practical guidepost for investment strategies. While Gemini 2.0’s insights are invaluable, I remind you that we must make up our own minds and/or take appropriate professional financial advice, when making financial decisions.
Conclusion: Innovating with Google Gemini 2.0 Flash Experimental
It seems obvious to me that tools, such as Google’s Gemini 2.0 Flash Experimental, embody the future of stock market analysis. By merging AI ingenuity with our established ‘3 Pillars of DIY-Investing’ techniques, we can continue to develop and improve our returns. DIY-investors utilising AI can expect a richer, more informed journey through the increasingly complex world of DIY-investing.
This particular AI experiment, looking at the S&P 500 and using Elliott Wave principles, is but a glimpse into the transformative potential that AI holds for enhancing our decision-making processes. I’ll be investigating and experimenting Gemini 2.0 and other AI tools over the next weeks and months, so be sure to follow our journey here on diy-investors.ai!
Mick Pavey (22nd December 2024)
[…] If you want to find out more about the outcome of this analysis, take a look HERE! […]
[…] date in his signature block. Cedric can have multiple tools at his disposal, as shown when he used Gemini 2.0 Flash […]