fathom-fyi

Instructions

Implementation Reference

• src/tools/get-sentiment-state.ts:9-59 (handler)

  Main handler function for get_sentiment_state, which fetches fear/greed data, processes trends, and generates narrative/guidance.

  export async function getSentimentState(cache: CacheService): Promise<SentimentStateOutput | ErrorOutput> {
    const cached = cache.get<SentimentStateOutput>(CACHE_KEY);
    if (cached) return cached.data;
  
    try {
      const fgData = await getFearGreed(7);
      const entries = fgData.data;
  
      const current = parseInt(entries[0].value, 10);
      const sevenDayAgo = entries.length >= 7 ? parseInt(entries[6].value, 10) : parseInt(entries[entries.length - 1].value, 10);
  
      const diff = current - sevenDayAgo;
      const trend: 'improving' | 'stable' | 'deteriorating' =
        diff > 5 ? 'improving' : diff < -5 ? 'deteriorating' : 'stable';
  
      const extremeFearOpportunity = current < 20;
      const extremeGreedWarning = current > 80;
  
      const contrarianSignal = current < 20
        ? 'Historically strong accumulation signal. Extreme fear often precedes recovery. Prior instances (March 2020, June 2022, November 2022) preceded 50-300% rallies within 3-12 months.'
        : current > 80
          ? 'Historically strong distribution signal. Extreme greed often precedes correction. Prior instances (November 2021, March 2024) preceded 20-50% drawdowns within 1-3 months.'
          : `Sentiment at ${current} is in the neutral-to-${current > 50 ? 'greedy' : 'fearful'} range. No extreme contrarian signal active. Monitor for moves toward extremes.`;
  
      const narrative = generateSentimentNarrative(current, sevenDayAgo, trend);
      const guidance = generateSentimentGuidance(current, trend, extremeFearOpportunity, extremeGreedWarning);
  
      const result: SentimentStateOutput = {
        fear_greed_current: current,
        fear_greed_7d_ago: sevenDayAgo,
        fear_greed_trend: trend,
        fear_greed_label: getFearGreedLabel(current),
        sentiment_narrative: narrative,
        extreme_fear_opportunity: extremeFearOpportunity,
        extreme_greed_warning: extremeGreedWarning,
        contrarian_signal: contrarianSignal,
        agent_guidance: guidance,
      };
  
      cache.set(CACHE_KEY, result, getCacheTtl(BASE_TTL));
      return result;
    } catch (err) {
      return {
        error: true,
        error_source: 'get_sentiment_state',
        agent_guidance: 'Sentiment data unavailable. Without sentiment context, treat current conditions as uncertain. Reduce position sizes until sentiment data is restored.',
        last_known_data: cache.get<SentimentStateOutput>(CACHE_KEY)?.data ?? null,
        data_warnings: ['Sentiment data source temporarily unavailable. Retry shortly.'],
      };
    }
  }