AI Trading bot Generates 3.52% GAIN for LAC Last Week: A Technical Analysis
Last week, Tickeron's artificial intelligence (AI) trading robot Day Trader, Popular Stocks: Short Bias Strategy (TA&FA) generated a substantial 3.52% gain for Lithium Americas Corp (LAC).
Last week, Tickeron's artificial intelligence (AI) trading robot generated a substantial 3.52% gain for Lithium Americas Corp (LAC). The AI trading robot, known as A.I.dvisor, utilized a popular technical analysis tool called the Aroon Indicator to trigger a bullish signal on May 12, 2023. This article will delve into the technicalities of this indicator and how it contributed to the impressive gain.
To understand the implications, we must first understand the workings of the Aroon Indicator. The Aroon Indicator is a versatile tool used by traders to identify trend changes, predict the strength of a trend, and even anticipate periods of consolidation. It consists of two components: the AroonUp and the AroonDown lines, which move between a range of zero and 100.
A bullish signal is triggered when the AroonUp line surpasses 70 while the AroonDown line stays below 30. This pattern suggests that the stock is likely preparing for an upward move, indicating a strong buying opportunity. Conversely, a bearish signal is identified when the AroonDown line is above 70 and the AroonUp line remains below 30.
On May 12, 2023, LAC's Aroon Indicator fulfilled the bullish signal conditions. A.I.dvisor detected that the AroonUp green line was above 70, while the AroonDown red line remained below 30, suggesting a bullish move was imminent. The prediction was spot-on, as the stock surged, resulting in a 3.52% gain for the week.
To bolster the reliability of the AI, A.I.dvisor compared this instance to 244 similar historical instances where the Aroon Indicator showed a comparable pattern. Remarkably, in 225 of these instances, the stock moved higher in the subsequent days, establishing a success rate of roughly 90%.
However, while these odds are promising, it's crucial to remember that past performance does not guarantee future results. The stock market is inherently unpredictable and influenced by countless factors outside of these indicators.
As AI and machine learning continue to evolve, the use of AI trading robots like Tickeron's A.I.dvisor is expected to become more prevalent. With their capacity to analyze vast amounts of data and identify patterns more accurately than human traders, AI trading robots can offer an edge in the fast-paced world of stock trading.
The 3.52% gain for LAC last week, triggered by the AI-based Aroon Indicator, underlines the potential of AI trading robots in modern financial markets. It offers a glimpse into the future of trading, where AI and machine learning will play an increasingly vital role.
LAC in +5.05% Uptrend, advancing for three consecutive days on June 02, 2023
Moving higher for three straight days is viewed as a bullish sign. Keep an eye on this stock for future growth. Considering data from situations where LAC advanced for three days, in of 275 cases, the price rose further within the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. of 66 cases where LAC's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
LAC moved above its 50-day moving average on June 01, 2023 date and that indicates a change from a downward trend to an upward trend.
The 10-day moving average for LAC crossed bullishly above the 50-day moving average on May 16, 2023. This indicates that the trend has shifted higher and could be considered a buy signal. In of 16 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are .
LAC 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 244 cases where LAC Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Bearish Trend Analysis
The 10-day RSI Indicator for LAC moved out of overbought territory on May 19, 2023. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 37 similar instances where the indicator moved out of overbought territory. In of the 37 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Momentum Indicator moved below the 0 level on May 25, 2023. You may want to consider selling the stock, shorting the stock, or exploring put options on LAC as a result. In of 86 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for LAC turned negative on May 26, 2023. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 46 similar instances when the indicator turned negative. In of the 46 cases the stock turned lower in the days that followed. This puts the odds of success at .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where LAC declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
Fundamental Analysis (Ratings)
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding 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 Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 88, placing this stock slightly better than average.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. LAC’s price grows at a lower rate over the last 12 months as compared to 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 (3.185) is normal, around the industry mean (6.485). P/E Ratio (0.000) is within average values for comparable stocks, (85.992). Projected Growth (PEG Ratio) (0.000) is also within normal values, averaging (2.077). Dividend Yield (0.000) settles around the average of (0.070) among similar stocks. P/S Ratio (0.000) is also within normal values, averaging (189.898).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating weak sales and an unprofitable 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.
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Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
General Information
a company, which engages in the acquisition, exploration and development of lithium resource properties
Industry OtherMetalsMinerals
LAC and
Correlation & Price change
A.I.dvisor indicates that over the last year, LAC has been closely correlated with PLL. These tickers have moved in lockstep 74% of the time. This A.I.-generated data suggests there is a high statistical probability that if LAC jumps, then PLL could also see price increases.
