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https://github.com/tanay-dwivedi/gold-price-data-analysis

The project involves analyzing historical gold market data (2010 - 2023) to extract insights on price movements, technical indicators, and market trends.
https://github.com/tanay-dwivedi/gold-price-data-analysis

dataanalysis goldprice matplotlib-pyplot python seaborn visualization

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The project involves analyzing historical gold market data (2010 - 2023) to extract insights on price movements, technical indicators, and market trends.

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# Gold Price Data Analysis



![Gold Price Data Analysis](image/image-8.png)



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## Problem Statement



The problem statement addressed by the analysis is to **understand the historical variations** in gold prices and technical indicators such as the Relative Strength Index (RSI14) and Simple Moving Average (SMA14) from **2010 to 2023**. This involves examining the **trends** in opening, closing, low, and high prices, as well as the **frequency distributions** of opening prices, to gain insights into **market dynamics** and **price movements** over the specified period. 



Additionally, the analysis aims to identify any **patterns** or **anomalies** in the RSI14 and SMA14 indicators, which can help **inform investment decisions** and **strategic planning** in the gold market.



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## Identify the Data



[Dataset](https://github.com/Tanay-Dwivedi/Gold-Price-Data-Analysis/blob/master/gold.csv)



Identifying the data involves determining the **relevant variables** and **sources** necessary for analysis. It requires **collecting** and **organizing** data to address specific research questions or business objectives.



The dataset I've chosen provides a comprehensive **time-series** of gold market data, including **daily open, high, low, and closing prices**. Additionally, it incorporates technical indicators such as **RSI14** (Relative Strength Index) and **SMA14** (Simple Moving Average), offering insights into **market sentiment** and **price trends**.



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## Results & Inference



### Variation of opening price of gold from 2010 to 2023:



**Aim**: To visualize how the opening price of gold has varied over the years from 2010 to 2023.



![Variation of opening price of gold from 2010 to 2023](image/image.png)



**Observation**: The line plot shows the trend of opening prices over the years, allowing for observation of any significant changes or patterns in the data.



### Variation of closing price of gold from 2010 to 2023:



**Aim**: To visualize how the closing price of gold has varied over the years from 2010 to 2023.



![Variation of closing price of gold from 2010 to 2023](image/image-1.png)



**Observation**: Similar to the opening price variation, this line plot provides insights into the trend of closing prices over the years.



### Variation of low rate of gold from 2010 to 2023:



**Aim**: To visualize how the low rate of gold has varied over the years from 2010 to 2023.



![Variation of low rate of gold from 2010 to 2023](image/image-2.png)



**Observation**: This line plot helps in understanding the trend of low rates of gold over the years, which might be useful for identifying periods of price fluctuations or stability.



### Variation of high rate of gold from 2010 to 2023:



**Aim**: To visualize how the high rate of gold has varied over the years from 2010 to 2023.



![Variation of high rate of gold from 2010 to 2023](image/image-3.png)



**Observation**: Similar to the low rate variation, this line plot provides insights into the trend of high rates of gold over the years.



### "rsi14" variation over the years (2010 - 2023) using subplots:



**Aim**: To analyze the variation of the RSI14 indicator over the years from 2010 to 2023, with each subplot representing one year.



!["rsi14" variation over the years (2010 - 2023)](image/image-4.png)



**Observation**: The subplots allow for a detailed examination of how the RSI14 values change throughout each year, potentially revealing seasonal or cyclical patterns.



### "sma14" variation over the years (2010 - 2023) using subplots:



**Aim**: To analyze the variation of the SMA14 indicator over the years from 2010 to 2023, with each subplot representing one year.



!["sma14" variation over the years (2010 - 2023)](image/image-5.png)



**Observation**: Similar to the RSI14 analysis, this visualization helps in understanding the variation of the SMA14 indicator over time.



### Time series plot of closing price over the years (2010 - 2023):



**Aim**: To visualize the time series of closing prices for each year from 2010 to 2023, with each subplot representing one year.



![Time series plot of closing price over the years (2010 - 2023)](image/image-6.png)



**Observation**: This analysis provides insights into the overall trend and volatility of closing prices over the years, potentially revealing any long-term patterns or anomalies.



### Frequency variation of Opening price over the years (2010 - 2023):



**Aim**: To visualize the frequency distribution of opening prices for each year from 2010 to 2023, with each subplot representing one year.



![Frequency variation of Opening price over the years (2010 - 2023)](image/image-7.png)



**Observation**: This analysis helps in understanding the distribution of opening prices for each year, which might indicate changes in market sentiment or trading activity over time.



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## Conclusion



The analysis reveals several key findings regarding **gold price variations** and **technical indicators** from **2010 to 2023**. Notably, there are discernible **trends** in the opening, closing, low, and high prices over the period, suggesting **market volatility** and potential **investment opportunities**.



Additionally, the examination of **RSI14** and **SMA14** indicators indicates fluctuating **market sentiment** and **trading patterns**. The **frequency distributions** of opening prices further highlight **market dynamics** and **price distribution** trends.



Overall, the analysis provides valuable insights for **market participants** and **investors** seeking to understand the **historical performance** of gold and make **informed decisions** for future **investment strategies**.



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## Recommendations



1. **Diversify**: Spread investments across different assets to reduce risk.

2. **Use Technical Analysis**: Monitor RSI14 and SMA14 for trading signals.

3. **Stay Informed**: Keep track of market sentiment and economic factors.

4. **Think Long-Term**: Consider gold as a hedge against inflation for the long haul.

5. **Manage Risk**: Set stop-loss orders and position sizing to protect investments.



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