This AI trading bot, which can be found at Swing Trader, Popular Stocks: Long Bias Strategy (TA&FA), was a high performer in our robot factory, generating 5.5% for BABA over the course of the previous month.
Artificial intelligence (AI) has revolutionized the world of trading by enabling traders to make data-driven decisions based on historical and real-time market data. AI trading robots have the ability to analyze massive amounts of data and generate insights that can be used to make profitable trades. In the case of Alibaba Group Holding Limited (BABA), an AI trading robot generated a 5.49% gain for the company last month.
BABA is a Chinese multinational conglomerate specializing in e-commerce, retail, and technology. The company has been in the news recently due to its strong earnings results. In its Q4 2022 earnings report, BABA reported a revenue of ¥221.08 billion ($34.04 billion), representing a 64% year-over-year increase. The company's net income for the quarter was ¥51.11 billion ($7.86 billion), an increase of 146% compared to the same period in the previous year.
In addition to strong earnings results, BABA's stock price has been on an upward trend since March 29, 2023. On that date, BABA moved above its 50-day moving average, which is a technical indicator that indicates a change from a downward trend to an upward trend. In 28 of 38 similar past instances, the stock price increased further within the following month. This means that the odds of a continued upward trend for BABA are 74%.
The AI trading robot that generated a 5.49% gain for BABA last month likely used technical analysis to identify the upward trend in the company's stock price. Technical analysis involves studying past market data and charts to identify trends and patterns that can be used to predict future price movements. The robot may have also used machine learning algorithms to analyze news and social media sentiment to further inform its trading decisions.
The use of AI trading robots is becoming increasingly popular among traders and investors due to their ability to generate profitable trades based on data-driven insights. As seen with BABA, these robots can identify trends and patterns that may not be apparent to human traders, leading to potentially higher profits. As always, it's important to conduct thorough research and analysis before making any investment decisions.
On June 02, 2023, the Stochastic Oscillator for BABA moved out of oversold territory and this could be a bullish sign for the stock. Traders may want to buy the stock or buy call options. Tickeron's A.I.dvisor looked at 52 instances where the indicator left the oversold zone. In of the 52 cases the stock moved higher in the following days. This puts the odds of a move higher at over .
The RSI Indicator points to a transition from a downward trend to an upward trend -- in cases where BABA's RSI Oscillator exited the oversold zone, of 38 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Momentum Indicator moved above the 0 level on June 05, 2023. You may want to consider a long position or call options on BABA as a result. In of 87 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for BABA just turned positive on June 02, 2023. Looking at past instances where BABA's MACD turned positive, the stock continued to rise in of 52 cases over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where BABA advanced for three days, in of 276 cases, the price rose further within the following month. The odds of a continued upward trend are .
BABA moved below its 50-day moving average on May 18, 2023 date and that indicates a change from an upward trend to a downward trend.
The 50-day moving average for BABA moved below the 200-day moving average on May 02, 2023. This could be a long-term bearish signal for the stock as the stock shifts to an downward trend.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where BABA declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
BABA broke above its upper Bollinger Band on May 17, 2023. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Aroon Indicator for BABA entered a downward trend on May 18, 2023. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. BABA’s price grows at a lower 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 worse than 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 (1.548) is normal, around the industry mean (17.374). P/E Ratio (21.786) is within average values for comparable stocks, (72.579). Projected Growth (PEG Ratio) (0.777) is also within normal values, averaging (2.561). Dividend Yield (0.000) settles around the average of (0.039) among similar stocks. P/S Ratio (1.817) is also within normal values, averaging (8.469).
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.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. BABA’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 95, placing this stock worse than average.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
an online and mobile commerce company
A.I.dvisor indicates that over the last year, BABA has been closely correlated with JD. These tickers have moved in lockstep 81% of the time. This A.I.-generated data suggests there is a high statistical probability that if BABA jumps, then JD could also see price increases.
|JD - BABA|
|BZUN - BABA|
|PDD - BABA|
|DADA - BABA|
|VIPS - BABA|