AI Trading Bot Generates 10.42% Return for BAC, but Bearish Signals Could Signal a Downturn
Automated trading bots have become an increasingly popular tool for traders looking to generate consistent returns in the stock market. One such bot,
Pair Trader for Financial Sector (TA), has generated a 10.42% return for banking giant Bank of America (BAC) over the past quarter. However, recent bearish signals for BAC have some traders concerned about the stock's future performance. BAC's Moving Average Convergence Divergence Histogram (MACD) turned negative on May 2, 2023, which is typically seen as a bearish signal that suggests the stock could decline going forward.
According to Tickeron's A.I.dvisor, there have been 42 instances where the MACD Histogram turned negative. In 32 of those cases, the stock moved lower in the days that followed. This puts the odds of a downward move at 76%, which is causing some traders to consider selling their positions in BAC.
While the Swing Trader bot has generated a solid return for BAC over the past quarter, traders must always be aware of potential risks and market fluctuations. The recent bearish signal for BAC could indicate a downturn, and traders should consider the potential downside before making any investment decisions.
It's worth noting that Swing Trader's long bias strategy means that it focuses on buying stocks that are likely to increase in value over the long term, rather than trying to make quick profits through short-term trades. As such, traders using this bot should be prepared to weather potential short-term fluctuations in the market.
The Swing Trader bot's success with BAC is a testament to the power of AI in trading. However, traders must always exercise caution and be aware of potential risks, especially when bearish signals arise. With the right approach, however, AI trading bots like Swing Trader can be a valuable tool for traders looking to achieve consistent returns in the stock market.
BAC sees MACD Histogram just turned negative
BAC saw its Moving Average Convergence Divergence Histogram (MACD) turn negative on November 13, 2025. This is a bearish signal that suggests the stock could decline going forward. Tickeron's A.I.dvisor looked at 46 instances where the indicator turned negative. In of the 46 cases the stock moved lower in the days that followed. This puts the odds of a downward move at .
Technical Analysis (Indicators)
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on November 13, 2025. You may want to consider selling the stock, shorting the stock, or exploring put options on BAC as a result. In of 79 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
BAC moved below its 50-day moving average on November 17, 2025 date and that indicates a change from an upward trend to a downward trend.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where BAC declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
Bullish Trend Analysis
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where BAC's RSI Oscillator exited the oversold zone, of 30 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Stochastic Oscillator demonstrated that the ticker has stayed in the oversold zone for 1 day, which means it's wise to expect a price bounce in the near future.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where BAC advanced for three days, in of 335 cases, the price rose further within the following month. The odds of a continued upward trend are .
BAC may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Aroon Indicator entered an Uptrend today. In of 303 cases where BAC Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 26, placing this stock worse than average.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. BAC’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (1.356) is normal, around the industry mean (1.318). P/E Ratio (14.109) is within average values for comparable stocks, (12.136). Projected Growth (PEG Ratio) (1.060) is also within normal values, averaging (4.405). BAC has a moderately low Dividend Yield (0.021) as compared to the industry average of (0.041). P/S Ratio (3.734) is also within normal values, averaging (3.396).
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