Learn/What is a Confidence Score?
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What is a Confidence Score?

How TradeMind AI scores signal conviction on a 0–100 scale and what the thresholds mean.

The simple version

The confidence score is a number from 50 to 100 that reflects how certain the AI is about a signal. Higher = more conviction. Only signals scoring 50 or above are published.

What goes into it

The score is derived from three underlying factors:

  • Technical score — price action, momentum indicators (RSI, MACD), volume, moving averages
  • Fundamental score — P/E ratio, earnings growth, revenue trend, analyst coverage
  • Sentiment score — recent news sentiment, social signal, sector momentum

The AI (Claude) weighs these factors and produces a final confidence score along with the signal direction and price levels.

Thresholds

  • 50–59 — Low confidence. Signal meets minimum threshold but has notable uncertainty.
  • 60–74 — Medium confidence. Reasonable conviction with some conflicting factors.
  • 75–89 — High confidence. Strong alignment across multiple factors.
  • 90–100 — Very high confidence. Rare. Strong consensus across technical, fundamental, and sentiment.

Does higher confidence mean a guaranteed win?

No. High confidence signals still lose — the market is unpredictable. Confidence reflects the strength of the evidence at the time the signal was generated, not a prediction of the future. The stop loss exists precisely because no signal is certain.

See it in action

Every TradeMind AI signal shows confidence score, entry, stop, target, and R-multiple — all explained with tooltip hints when you hover the term.

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