TMHC Sector Rotation Swing Trading: 13.04% Profit, 78% Uptrend Odds
A Swing Trading Sector Rotation Strategy Demonstrates Strong Potential: Generating 13.04% for TMHC
In recent times, the Swing Trader: Sector Rotation Strategy (TA&FA) has proven its mettle by generating a promising 13.04% return for Taylor Morrison Home Corporation (TMHC). This gain showcases the potential of using a combined technical and fundamental analysis strategy in navigating the financial market landscape.
The strategy, which incorporates elements of swing trading and sector rotation, focuses on capturing gains from short-term trends within specific sectors. By leveraging both Technical Analysis (TA) and Fundamental Analysis (FA), this strategy provides the trader with a holistic view of the market, thereby offering a higher degree of accuracy in predicting price movements.
In a recent scenario, TMHC stock demonstrated a positive 3-day advance of +1.35%. The historical analysis reveals an intriguing insight: when TMHC advanced for three consecutive days, it experienced further growth in the subsequent month in 239 out of 305 observed cases. This outcome implies that the probability of TMHC continuing its upward trajectory is approximately 78%.
This statistical data, while offering a positive indication, is primarily based on past trends and behavior. As a swing trader, one needs to utilize this information with a strategy that offers flexibility and quick response to market changes.
The essence of the Swing Trader: Sector Rotation Strategy lies in the capacity to shift focus swiftly between sectors, depending on their performance. This strategy aligns with the philosophy of 'buy low and sell high', but over a relatively shorter timeframe than traditional long-term investment strategies.
In the case of TMHC, the combined approach of TA&FA facilitates a comprehensive assessment of the company's potential, allowing for calculated decisions regarding entry and exit points. This strategy assists in identifying promising opportunities based on short-term price fluctuations, market trends, and overall economic indicators.
The recent gain of 13.04% for TMHC as facilitated by the Swing Trader: Sector Rotation Strategy (TA&FA) underlines the strategy's potential in capitalizing on market trends. Through the careful balancing of technical and fundamental analysis, swing traders have the tools they need to capture significant gains over short-term market fluctuations. This approach is becoming an increasingly relevant strategy for modern-day traders seeking to optimize their trading performance in a dynamically evolving market.
Momentum Indicator for TMHC turns positive, indicating new upward trend
TMHC saw its Momentum Indicator move above the 0 level on May 07, 2025. This is an indication that the stock could be shifting in to a new upward move. Traders may want to consider buying the stock or buying call options. Tickeron's A.I.dvisor looked at 101 similar instances where the indicator turned positive. In of the 101 cases, the stock moved higher in the following days. The odds of a move higher are at .
Technical Analysis (Indicators)
Bullish Trend Analysis
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where TMHC's RSI Oscillator exited the oversold zone, of 18 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 TMHC just turned positive on April 22, 2025. Looking at past instances where TMHC's MACD turned positive, the stock continued to rise in of 60 cases over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where TMHC advanced for three days, in of 308 cases, the price rose further within the following month. The odds of a continued upward trend are .
TMHC may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Bearish Trend Analysis
The Stochastic Oscillator may be shifting from an upward trend to a downward trend. In of 71 cases where TMHC's Stochastic Oscillator exited the overbought zone, the price fell further within 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 TMHC 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 TMHC entered a downward trend on April 14, 2025. 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 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 59, placing this stock 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 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 (1.225) is normal, around the industry mean (7.196). P/E Ratio (8.765) is within average values for comparable stocks, (103.177). Projected Growth (PEG Ratio) (0.000) is also within normal values, averaging (1.437). TMHC has a moderately low Dividend Yield (0.000) as compared to the industry average of (0.046). P/S Ratio (0.908) is also within normal values, averaging (88.859).
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. TMHC’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
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General Information
a developer of entry-level and luxury homes
Industry Homebuilding