The Swing Trader: High Volatility Stocks for Active Trading (TA&FA) AI trading robot from Tickeron's robot factory has recently emerged as a top performer, demonstrating its prowess by generating a notable 4.59% return for BBIG within a week. However, as BBIG experienced a negative turn in its Moving Average Convergence Divergence Histogram (MACD) on May 11, 2023, it's crucial to explore the potential implications of this bearish signal and assess the AI robot's reliability in forecasting future market movements.
Bearish Signal: BBIG's MACD Turns Negative On May 11, 2023, BBIG witnessed a significant event in technical analysis: its MACD histogram turned negative. The MACD is a popular momentum indicator that helps traders identify potential trend reversals and evaluate the strength of a security's price movement. A negative MACD indicates a potential shift towards a bearish market sentiment for BBIG.
AI Analysis: Historical Patterns and Predictive Accuracy Tickeron's A.I.dvisor, an AI-powered analysis tool, examined 42 instances in the past where BBIG's MACD turned negative. Remarkably, in 38 out of those 42 cases, the stock's price moved lower in the subsequent days. This historical analysis suggests a strong correlation between a negative MACD and a downward trend in BBIG's stock price. With 90% accuracy in predicting a downward move after a negative MACD, Tickeron's AI trading robot seems to have a high level of reliability.
The Role of Swing Trader's AI Trading Robot The Swing Trader: High Volatility Stocks for Active Trading (TA&FA) AI trading robot has demonstrated exceptional performance in Tickeron's robot factory. Within just one week, it generated an impressive 4.59% return for BBIG, showcasing its ability to capitalize on high volatility stocks. The robot employs a combination of technical analysis (TA) and fundamental analysis (FA) to identify potential trading opportunities.
Using TA, the robot leverages various technical indicators, such as the MACD, to assess market trends and make informed trading decisions. In the case of BBIG, the robot's ability to detect the negative MACD signal provided an early warning of a potential decline in the stock's price. By incorporating FA, the robot considers fundamental factors such as company financials, news, and market sentiment, enhancing its decision-making process.
AI Trading Robot's Success Amidst Bearish Signals The Swing Trader: High Volatility Stocks for Active Trading (TA&FA) AI trading robot from Tickeron has demonstrated its capabilities by generating impressive returns for BBIG. Despite the bearish signal triggered by the negative MACD, historical data analyzed by Tickeron's A.I.dvisor suggests a high probability of a downward move in BBIG's stock price. This indicates that the AI trading robot's predictive accuracy is a valuable asset for traders seeking to navigate volatile markets and capitalize on emerging trends.
BBIG saw its Momentum Indicator move below the 0 level on May 26, 2023. This is an indication that the stock could be shifting in to a new downward move. Traders may want to consider selling the stock or exploring put options. Tickeron's A.I.dvisor looked at 92 similar instances where the indicator turned negative. In of the 92 cases, the stock moved further down in the following days. The odds of a decline are at .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where BBIG 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 BBIG 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 RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where BBIG's RSI Oscillator exited the oversold zone, of 30 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. of 61 cases where BBIG's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for BBIG just turned positive on May 19, 2023. Looking at past instances where BBIG's MACD turned positive, the stock continued to rise in of 43 cases over the following month. The odds of a continued upward trend are .
BBIG moved above its 50-day moving average on May 11, 2023 date and that indicates a change from a downward trend to an upward trend.
The 10-day moving average for BBIG crossed bullishly above the 50-day moving average on May 11, 2023. This indicates that the trend has shifted higher and could be considered a buy signal. In of 17 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are .
Following a +2 3-day Advance, the price is estimated to grow further. Considering data from situations where BBIG advanced for three days, in of 208 cases, the price rose further within the following month. The odds of a continued upward trend are .
BBIG 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 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 (0.237) is normal, around the industry mean (23.301). P/E Ratio (0.019) is within average values for comparable stocks, (31.328). Projected Growth (PEG Ratio) (0.000) is also within normal values, averaging (2.643). Dividend Yield (0.000) settles around the average of (0.067) among similar stocks. P/S Ratio (0.682) is also within normal values, averaging (3.832).
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 Price Growth Rating for this company is (best 1 - 100 worst), indicating slightly worse than average price growth. BBIG’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. BBIG’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 85, placing this stock worse than average.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows