Every day, millions of messages are posted across various social media channels, creating a golden opportunity for diligent stock traders. This "big data" can be overwhelming, yet incredibly powerful when analyzed properly. The Effect of Social Media on Stock Prices uncovers the ways in which social media messages can trigger abnormal stock price movements, and provides insight into how traders can utilize this information. These findings are organized into a step-by-step action plan that allows traders to formulate trading plans using data from social media channels. This action plan is fueled by an in-depth look at the stock market and social media industries, an analysis of the most important social media channels and messages, and case studies that took place during the duration of this project. This data may used to enable traders to focus on the right messages from the right sources at the right times. By developing the proper criteria for finding, filtering, and analyzing appropriate social media messages, traders can gain an edge in the stock market and increase their profitability.