The AI trading robot, designed for Swing trader: Volatility Balanced Strategy (TA), stood out as one of the top performers in our robot factory. It successfully traded WKHS throughout the previous week and achieved an impressive 4.34% gain with only 5 trades.
As a technical analyst, I would like to follow up on the previous article regarding the AI trading robot designed for Swing traders and its successful trading of WKHS (Workhorse Group Inc.) during the previous week. However, as of April 18, 2023, the Aroon Indicator for WKHS has entered a downward trend, which may indicate a strong downward move is ahead for the stock.
Tickeron's A.I.dvisor identified a pattern where the AroonDown red line was above 70 while the AroonUp green line was below 30 for three straight days. This pattern is significant as it suggests a bearish trend, and traders may want to consider selling the stock or buying put options.
A.I.dvisor also looked at 262 similar instances where the Aroon Indicator formed such a pattern, and in 242 of those cases, the stock moved lower. This gives the odds of a downward move at 90%, making it a high probability trade.
It is essential to note that technical indicators are not foolproof and should be used in conjunction with other analysis tools to make informed trading decisions. However, in this particular case, the Aroon Indicator has identified a potential opportunity for traders to profit from a downward move in WKHS.
While the AI trading robot designed for Swing traders and the Volatility Balanced Strategy (TA) may have had a successful week trading WKHS, it is crucial to remain vigilant and stay informed about any potential changes in market conditions. The Aroon Indicator's current reading suggests a bearish trend in WKHS, and traders may want to consider taking advantage of this opportunity to make profitable trades.
The Aroon Indicator for WKHS entered a downward trend on May 22, 2023. Tickeron's A.I.dvisor identified a pattern where the AroonDown red line was above 70 while the AroonUp green line was below 30 for three straight days. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options. A.I.dvisor looked at 272 similar instances where the Aroon Indicator formed such a pattern. In of the 272 cases the stock moved lower. This puts the odds of a downward move at .
The Momentum Indicator moved below the 0 level on May 12, 2023. You may want to consider selling the stock, shorting the stock, or exploring put options on WKHS as a result. In of 75 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where WKHS declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where WKHS's RSI Indicator exited the oversold zone, of 46 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 2 days, which means it's wise to expect a price bounce in the near future.
Following a +2 3-day Advance, the price is estimated to grow further. Considering data from situations where WKHS advanced for three days, in of 254 cases, the price rose further within the following month. The odds of a continued upward trend are .
WKHS may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
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 (1.531) is normal, around the industry mean (9.550). P/E Ratio (3.200) is within average values for comparable stocks, (95.948). Projected Growth (PEG Ratio) (0.000) is also within normal values, averaging (5.867). WKHS has a moderately low Dividend Yield (0.000) as compared to the industry average of (0.041). P/S Ratio (20.833) is also within normal values, averaging (72.176).
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating slightly worse than average price growth. WKHS’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
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 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 Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. WKHS’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 89, placing this stock worse than average.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows