META Swing Trading: Generate 15.19% Returns with Long-Short Equity
Swing Trader's Long-Short Equity Strategy (TA&FA) Yields a 15.19% Return for META
In the ever-evolving realm of financial markets, adept traders constantly employ a mix of strategies to secure maximum returns. One such strategy that has recently gained traction is the Long-Short Equity Strategy, often coupled with Technical Analysis (TA) and Fundamental Analysis (FA). The execution of this strategy by a swing trader for the tech conglomerate META recently generated a return of 15.19%.
Swing trading, an approach that capitalizes on minor price changes to generate profits, is often linked with the Long-Short Equity Strategy, which combines long holdings of securities expected to appreciate with short sales of securities expected to depreciate. Together, these strategies provide traders with opportunities to capitalize on market volatility and create a well-rounded portfolio.
META, previously known as Facebook Inc., has been under the swing trader's microscope due to its promising performance and the substantial return potential it exhibits. The execution of the Long-Short Equity Strategy coupled with TA & FA has resulted in a noteworthy 15.19% return.
The trader's strategy can be viewed in part as a product of meticulous analysis - both technical and fundamental. Technical analysis is focused on statistical trends gathered from trading activity, such as price movement and volume. Meanwhile, fundamental analysis evaluates a company's intrinsic value by examining related economic and financial factors, including the health of the economy, industry conditions, and the company's financial health and management performance.
In this case, the Aroon Indicator, a popular tool used in technical analysis, played a significant role. The Aroon Indicator differentiates between trending and non-trending conditions of stock, giving traders insights into the strength of a trend. For META, the Aroon Indicator showed that an upward move is likely.
This promising sign, backed by strong fundamental factors such as META's robust financial performance and pioneering role in the technology sector, has led to the successful implementation of the swing trader's Long-Short Equity Strategy.
The combination of Swing Trading and the Long-Short Equity Strategy, supported by solid TA&FA, has demonstrated considerable success in META's case. It serves as a testament to the potential for intelligent strategy implementation and thorough market analysis to generate robust returns in the financial trading landscape. As traders and investors continue to innovate and adapt, the usage of such techniques is expected to persist and potentially grow in popularity.
Aroon Indicator for META shows an upward move is likely
META's Aroon Indicator triggered a bullish signal on September 25, 2023. Tickeron's A.I.dvisor detected that the AroonUp green line is above 70 while the AroonDown red line is below 30. When the up indicator moves above 70 and the down indicator remains below 30, it is a sign that the stock could be setting up for a bullish move. Traders may want to buy the stock or look to buy calls options. A.I.dvisor looked at 330 similar instances where the Aroon Indicator showed a similar pattern. In of the 330 cases, the stock moved higher in the days that followed. This puts the odds of a move higher at .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. of 54 cases where META'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 .
META moved above its 50-day moving average on September 28, 2023 date and that indicates a change from a downward trend to an upward trend.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where META advanced for three days, in of 322 cases, the price rose further within the following month. The odds of a continued upward trend are .
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on September 25, 2023. You may want to consider selling the stock, shorting the stock, or exploring put options on META as a result. In of 83 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 META turned negative on September 21, 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 47 similar instances when the indicator turned negative. In of the 47 cases the stock turned lower in the days that followed. This puts the odds of success at .
The 10-day moving average for META crossed bearishly below the 50-day moving average on September 27, 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 META declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
META broke above its upper Bollinger Band on September 14, 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.
Fundamental Analysis (Ratings)
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating outstanding price growth. META’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 outstanding 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 well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 92, placing this stock slightly better than average.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating 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 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 (5.834) is normal, around the industry mean (17.311). P/E Ratio (35.461) is within average values for comparable stocks, (41.575). Projected Growth (PEG Ratio) (0.768) is also within normal values, averaging (3.534). Dividend Yield (0.000) settles around the average of (0.024) among similar stocks. P/S Ratio (6.658) is also within normal values, averaging (8.571).
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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 social networking service and website
Industry InternetSoftwareServices
META and
Correlation & Price change
A.I.dvisor indicates that over the last year, META has been loosely correlated with GOOGL. These tickers have moved in lockstep 59% of the time. This A.I.-generated data suggests there is some statistical probability that if META jumps, then GOOGL could also see price increases.
| Ticker / NAME | Correlation To META | 1D Price Change % | ||
|---|---|---|---|---|
| META | 100% | -1.25% | ||
| GOOGL - META | 59% Loosely correlated | -1.13% | ||
| GOOG - META | 58% Loosely correlated | -0.96% | ||
| SPOT - META | 44% Loosely correlated | +0.72% | ||
| DASH - META | 42% Loosely correlated | +2.15% | ||
| FVRR - META | 40% Loosely correlated | +2.77% | ||
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