The nuances of trading and investment strategies are vast and intricate, none more so than the Swing Trader: Sector Rotation Strategy (TA&FA), a method that recently delivered a remarkable 10.12% yield for CPE. The focus here will be to unravel how this strategy achieved such an impressive result and to shed some light on the mechanics behind it.
Swing trading is a style that aims to capture gains in a stock within an overnight hold to several weeks. The Sector Rotation Strategy is a more refined form of swing trading, involving shifting investments between business sectors to take advantage of the economic cycle's ups and downs. Both technical analysis (TA) and fundamental analysis (FA) are combined in this technique to offer potent insight into potential market movements.
For CPE, this strategy has been an absolute game-changer, generating a substantial return of 10.12%. It's an exceptional figure, especially given the often-volatile market conditions. It underscores the robustness of this strategy and the effectiveness of integrating TA and FA.
The Stochastic Oscillator, a key indicator often used in TA, plays a vital role in this strategy. It measures a security's closing price relative to its price range over a specified period. For CPE, the Stochastic Oscillator has been spotted ascending out of the oversold territory.
The ascension of the Stochastic Oscillator from the oversold zone is a promising sign. It typically indicates a reversal in price momentum, signifying that the asset's price is set to climb. It suggests that the selling pressure, which previously drove the asset into the oversold zone, is subsiding and buying pressure is growing.
This shift generally triggers traders' attention, who see it as an ideal time to enter a position in anticipation of the price increase. Therefore, this oscillation has been a significant contributing factor to the sector rotation strategy's fruitful implementation for CPE.
The Swing Trader: Sector Rotation Strategy (TA&FA) has demonstrated its potential by delivering a commendable 10.12% yield for CPE. The ascension of the Stochastic Oscillator from the oversold territory underscores the advantage of combining technical and fundamental analyses to make informed trading decisions. This holistic strategy promises to continue offering valuable insights into potential market movements and opportunities for profit generation.
The 10-day RSI Indicator for CPE moved out of overbought territory on September 08, 2023. This could be a sign that the stock is shifting from an upward trend to a downward trend. Traders may want to look at selling the stock or buying put options. Tickeron's A.I.dvisor looked at 23 instances where the indicator moved out of the overbought zone. In of the 23 cases the stock moved lower in the days that followed. This puts the odds of a move down at .
The Momentum Indicator moved below the 0 level on September 15, 2023. You may want to consider selling the stock, shorting the stock, or exploring put options on CPE as a result. In of 90 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 CPE turned negative on September 14, 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 43 similar instances when the indicator turned negative. In of the 43 cases the stock turned lower in the days that followed. This puts the odds of success at .
CPE moved below its 50-day moving average on September 22, 2023 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 CPE declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
CPE broke above its upper Bollinger Band on August 30, 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 Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 4 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an upward trend is expected.
The 50-day moving average for CPE moved above the 200-day moving average on September 06, 2023. This could be a long-term bullish signal for the stock as the stock shifts to an upward trend.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where CPE advanced for three days, in of 285 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 183 cases where CPE 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 Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. CPE’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 consistent 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 (0.714) is normal, around the industry mean (6.197). P/E Ratio (2.236) is within average values for comparable stocks, (16.491). Projected Growth (PEG Ratio) (0.679) is also within normal values, averaging (2.534). Dividend Yield (0.000) settles around the average of (0.125) among similar stocks. P/S Ratio (0.863) is also within normal values, averaging (120.438).
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. CPE’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 77, placing this stock worse than average.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a developer of oil and gas properties
|MFs / NAME||Price $||Chg $||Chg %|
|T. Rowe Price Asia Opportunities I|
|New Zealand Dollar - United States Dollar|
|Brown Capital Mgmt Small Co Instl|
|Neuberger Berman International Eq C|
|Federated Hermes Kaufmann A|
A.I.dvisor indicates that over the last year, CPE has been closely correlated with PR. These tickers have moved in lockstep 86% of the time. This A.I.-generated data suggests there is a high statistical probability that if CPE jumps, then PR could also see price increases.