Market Neutral Strategy: 35.49% Gain for XPEV with TA&FA
Exploring Market Neutral Strategy: Focus on XPEV
Choppy Market Trader, Popular Stocks: Market Neutral Strategy (TA&FA) Generates 35.49% for XPEV
Choppy Market Trader, Popular Stocks
In the ever-changing financial markets, trading strategies need to adapt and evolve. One such strategy that has caught the attention of investors is the Market Neutral Strategy, focusing on Technical Analysis & Fundamental Analysis (TA&FA) in a choppy market environment. The theme revolves around utilizing popular stocks that offer both growth and stability.
Group of Tickers Inside the Theme
The group of tickers inside this theme is led by popular stocks that have shown resilience in fluctuating markets. The primary focus is on employing TA&FA techniques to capitalize on trends and patterns.
XPEV (XPeng Inc.)
XPEV, a prominent name in the electric vehicle (EV) industry, has recently generated a 35.49% return using the Market Neutral Strategy (TA&FA). The Aroon Indicator's recent entry into an Uptrend underscores this performance.
Understanding the Aroon Indicator Uptrend with XPEV
The Aroon Indicator is a technical analysis tool used to identify trends in a stock's price. For XPEV, this tool recently entered an Uptrend. In 71 of 92 instances where XPEV's Aroon Indicator has entered an Uptrend, the price has continued to rise further within the following month. The odds of a continued Uptrend are currently calculated at 77%.
XPEV's uptrend indicates a strong momentum and bullish sentiment, which could be an appealing point for traders and investors seeking growth opportunities within the electric vehicle sector.
Other Tickers in the Theme
Tesla Inc. (TSLA)
As a leading player in the EV market, Tesla has also exhibited promising trends through various technical indicators. Although not mentioned in the initial text, it's common for investors following this theme to also consider Tesla's performance as a yardstick for the entire EV industry.
NIO Inc. (NIO)
NIO, another competitor in the EV space, may also be a vital part of the theme, offering growth potential. The company's recent developments and market positioning make it a popular choice among traders following a Market Neutral Strategy.
The Market Neutral Strategy in a choppy market, focusing on popular stocks like XPEV, TSLA, and NIO, presents an engaging investment approach. The theme's use of TA&FA, as seen in the case of XPEV and the Aroon Indicator, demonstrates the potential to generate significant returns by capitalizing on underlying market trends. This theme may continue to intrigue traders looking to explore opportunities within the dynamic electric vehicle sector.
Momentum Indicator for XPEV turns negative, indicating new downward trend
XPEV saw its Momentum Indicator move below the 0 level on September 18, 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 48 similar instances where the indicator turned negative. In of the 48 cases, the stock moved further down in the following days. The odds of a decline are at .
Technical Analysis (Indicators)
Bearish Trend Analysis
The Moving Average Convergence Divergence Histogram (MACD) for XPEV turned negative on September 13, 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 30 similar instances when the indicator turned negative. In of the 30 cases the stock turned lower in the days that followed. This puts the odds of success at .
XPEV moved below its 50-day moving average on September 20, 2023 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for XPEV crossed bearishly below the 50-day moving average on September 26, 2023. This indicates that the trend has shifted lower and could be considered a sell signal. In of 13 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 XPEV 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 XPEV entered a downward trend on August 29, 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.
Bullish Trend Analysis
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.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where XPEV advanced for three days, in of 167 cases, the price rose further within the following month. The odds of a continued upward trend are .
XPEV may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Fundamental Analysis (Ratings)
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. XPEV’s price grows at a higher 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 (3.231) is normal, around the industry mean (6.710). P/E Ratio (0.000) is within average values for comparable stocks, (20.510). Projected Growth (PEG Ratio) (0.000) is also within normal values, averaging (5.666). XPEV has a moderately low Dividend Yield (0.000) as compared to the industry average of (0.040). P/S Ratio (4.978) is also within normal values, averaging (49.647).
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. XPEV’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.
Notable companies
Industry description
Market Cap
High and low price notable news
Volume
Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
General Information
a designer, developer, and manufacturer smart electric vehicles
Industry MotorVehicles
XPEV and
Correlation & Price change
A.I.dvisor indicates that over the last year, XPEV has been closely correlated with NIO. These tickers have moved in lockstep 80% of the time. This A.I.-generated data suggests there is a high statistical probability that if XPEV jumps, then NIO could also see price increases.
| Ticker / NAME | Correlation To XPEV | 1D Price Change % | ||
|---|---|---|---|---|
| XPEV | 100% | -2.82% | ||
| NIO - XPEV | 80% Closely correlated | +0.72% | ||
| LI - XPEV | 74% Closely correlated | -1.56% | ||
| NIU - XPEV | 58% Loosely correlated | +1.08% | ||
| RIVN - XPEV | 44% Loosely correlated | +5.35% | ||
| PSNY - XPEV | 40% Loosely correlated | +10.09% | ||
More | ||||