> For the complete documentation index, see [llms.txt](https://asteri-ai.gitbook.io/asteri-ai/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://asteri-ai.gitbook.io/asteri-ai/4.-trading-signal-framework.md).

# 4. Trading Signal Framework

The trading signal framework of Asteri AI is designed to provide users with timely and accurate trading signals based on a combination of technical, sentiment, and astrological analysis. The framework operates as follows:

1. **Signal Generation**: Asteri AI generates trading signals by analyzing the integrated dataset and identifying potential entry and exit points. These signals are based on a combination of technical indicators, sentiment analysis, and astrological patterns.
2. **Risk Management**: The system incorporates risk management protocols to ensure that trading signals are aligned with the user's risk tolerance and investment goals. This includes setting stop-loss and take-profit levels, as well as position sizing.
3. **Backtesting and Validation**: All trading signals are backtested against historical data to validate their accuracy and reliability. This ensures that the signals are robust and capable of performing well in different market conditions.