Swing trading presents a brilliant strategy for beginners aiming to seize short-term opportunities in the market. Recently, beginners practicing this strategy were able to generate a significant 13.66% return on their investment in AMC Entertainment Holdings Inc. (AMC).
AMC, a highly popular trading pick, exhibited an exciting upward trend, breaking its lower Bollinger Band on June 22, 2023. Bollinger Bands, a commonly used technical analysis tool, allows traders to gauge volatility and price levels over a specific time period. When the price of a stock breaks its lower Bollinger Band, it often suggests a potential rebound is on the horizon.
This specific instance is particularly promising for AMC. There is an expectation that the price may leap back above the lower band, gearing towards the middle band. If this plays out as expected, traders may find it an opportune moment to buy the stock or explore lucrative call options.
In AMC's trading history, in 35 of the 40 cases where the stock's price broke below its lower Bollinger Band, the price escalated further in the subsequent month. This historical data offers considerable confidence in the stock's potential for gain, making AMC a compelling opportunity for swing traders. The odds of a continued upward trend, as derived from past performance, are currently estimated to be an encouraging 88%.
A beginner’s journey in swing trading can indeed be rewarding, as demonstrated by this instance with AMC. With diligent attention to trends and potential breakout points, beginner traders can tap into promising returns. Moreover, leveraging historical data and technical indicators like the Bollinger Bands can significantly assist in identifying potential trading opportunities. As always, a well-informed and strategic approach can unlock significant potential profits, even for those newly venturing into the realm of swing trading.
The Moving Average Convergence Divergence (MACD) for AMC turned positive on September 14, 2023. Looking at past instances where AMC's MACD turned positive, the stock continued to rise in of 36 cases over the following month. The odds of a continued upward trend are .
The RSI Indicator shows that the ticker has stayed in the oversold zone for 19 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 Uptrend is expected.
The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 20 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.
Following a +1 3-day Advance, the price is estimated to grow further. Considering data from situations where AMC advanced for three days, in of 258 cases, the price rose further within the following month. The odds of a continued upward trend are .
AMC may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Momentum Indicator moved below the 0 level on August 14, 2023. You may want to consider selling the stock, shorting the stock, or exploring put options on AMC as a result. In of 80 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
AMC moved below its 50-day moving average on August 14, 2023 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for AMC crossed bearishly below the 50-day moving average on August 17, 2023. This indicates that the trend has shifted lower and could be considered a sell signal. In of 15 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following 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 AMC 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 Aroon Indicator for AMC entered a downward trend on September 19, 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 Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly undervalued 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 (0.000) is normal, around the industry mean (4.639). P/E Ratio (0.000) is within average values for comparable stocks, (76.375). AMC's Projected Growth (PEG Ratio) (0.000) is slightly lower than the industry average of (1.748). Dividend Yield (0.000) settles around the average of (0.061) among similar stocks. P/S Ratio (0.275) is also within normal values, averaging (109.181).
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 Price Growth Rating for this company is (best 1 - 100 worst), indicating slightly worse than average price growth. AMC’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
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. AMC’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 90, placing this stock worse than average.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a holding company with interest in movie theatres
A.I.dvisor indicates that over the last year, AMC has been loosely correlated with CNK. These tickers have moved in lockstep 38% of the time. This A.I.-generated data suggests there is some statistical probability that if AMC jumps, then CNK could also see price increases.