Swing Trader's AI trading robot has been making waves in the market, with its diversified approach to investing in hi-tech and consumer sectors. The robot's performance over the past week has been outstanding, generating a significant 5.83% return for IBP. This is an excellent achievement, and investors are undoubtedly curious about how the robot has achieved such impressive results.
One key factor that the robot may have taken into account is the 10-day Relative Strength Index (RSI) indicator for IBP. This indicator is a popular technical analysis tool that measures the momentum of a stock's price movement over the past ten trading days. The RSI can range from 0 to 100, with a reading of 70 or above indicating that a stock is overbought, while a reading of 30 or below suggests that it is oversold.
On April 25, 2023, the 10-day RSI for IBP moved out of the overbought territory, dropping below the 70 level. This could be a sign that the stock is shifting from an upward trend to a downward trend, and traders may want to consider selling the stock or buying put options. It is important to note that the RSI is just one indicator, and investors should use it in conjunction with other technical indicators and fundamental analysis to make informed investment decisions.
To further analyze the situation, Tickeron's A.I.dvisor looked at 47 instances where the RSI indicator moved out of the overbought zone. In 32 of the 47 cases, the stock moved lower in the days that followed. This puts the odds of a move down at 68%, which is a significant majority. While this is not a guarantee that the stock will move lower, it does suggest that investors should exercise caution and closely monitor the situation.
In conclusion, Swing Trader's AI trading robot has shown impressive performance in the market, generating a substantial return for IBP. However, investors should always conduct their own research and analysis to make informed investment decisions. The recent move of the 10-day RSI for IBP out of the overbought territory is a signal that traders may want to consider selling the stock or buying put options. With the odds of a move down at 68%, investors should exercise caution and closely monitor the situation.
The 10-day moving average for IBP crossed bearishly below the 50-day moving average on May 23, 2023. This indicates that the trend has shifted lower and could be considered a sell signal. In of 12 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 .
The 10-day RSI Indicator for IBP moved out of overbought territory on April 25, 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 48 similar instances where the indicator moved out of overbought territory. In of the 48 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 19, 2023. You may want to consider selling the stock, shorting the stock, or exploring put options on IBP 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 IBP turned negative on May 04, 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 42 similar instances when the indicator turned negative. In of the 42 cases the stock turned lower in the days that followed. This puts the odds of success at .
IBP moved below its 50-day moving average on May 19, 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 IBP 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 IBP entered a downward trend on May 26, 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 Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 5 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 3-day Advance, the price is estimated to grow further. Considering data from situations where IBP advanced for three days, in of 306 cases, the price rose further within the following month. The odds of a continued upward trend are .
IBP 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 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 Seasonality Score of (best 1 - 100 worst) indicates that the company is slightly undervalued 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 Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 66, placing this stock better than average.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. IBP’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 fair valued 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 (6.013) is normal, around the industry mean (6.623). P/E Ratio (12.821) is within average values for comparable stocks, (120.711). Projected Growth (PEG Ratio) (0.000) is also within normal values, averaging (2.278). IBP has a moderately low Dividend Yield (0.012) as compared to the industry average of (0.048). P/S Ratio (1.114) is also within normal values, averaging (71.793).
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 average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows