Week-long FANG Trading Spree: Robot Factory's 4.50% Profit Surge
Trend Trader: Popular Stocks (TA&FA) is an AI trading robot that uses both technical and fundamental analysis to identify profitable trades. According to Tickeron's robot factory, this AI trading robot was a top performer over a week, generating 4.50% for FANG (Facebook, Amazon, Netflix, Google).
However, on May 02, 2023, FANG's stock price moved below its 50-day moving average, which is a bearish signal and indicates a change from an upward trend to a downward trend. Based on historical data, in 34 of 40 similar past instances, the stock price decreased further within the following month. The odds of a continued downward trend are therefore estimated at 85%.
As an AI trading robot, Trend Trader: Popular Stocks (TA&FA) uses technical analysis to identify trends and patterns in the market. Its algorithm is based on the idea that historical price and volume data can be used to predict future market movements. In the case of FANG, the robot may have identified the bearish signal and taken a short position, which would have resulted in a profit as the stock price decreased.
However, it is important to note that fundamental factors also play a significant role in the stock market. On May 01, FANG reported earnings per share of $4.10, which missed the estimate of $4.35. With 2.23 million shares outstanding, the current market capitalization sits at $23.12 billion.
This disappointing earnings report may have contributed to the downward trend in FANG's stock price. As an AI trading robot, Trend Trader: Popular Stocks (TA&FA) also takes fundamental factors into account when making trading decisions. It is possible that the robot identified the missed earnings estimate as a negative factor and took a short position in the stock.
FANG sees its 50-day moving average cross bullishly above its 200-day moving average
The 50-day moving average for FANG moved above the 200-day moving average on August 17, 2023. This could be a long-term bullish signal for the stock as the stock shifts to an upward trend.
Technical Analysis (Indicators)
Bullish Trend Analysis
The Stochastic Oscillator demonstrated that the ticker has stayed in the oversold zone for 1 day, which means it's wise to expect a price bounce in the near future.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where FANG advanced for three days, in of 336 cases, the price rose further within the following month. The odds of a continued upward trend are .
FANG may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Aroon Indicator entered an Uptrend today. In of 278 cases where FANG Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Bearish Trend Analysis
The 10-day RSI Indicator for FANG moved out of overbought territory on September 11, 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 34 similar instances where the indicator moved out of overbought territory. In of the 34 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 September 20, 2023. You may want to consider selling the stock, shorting the stock, or exploring put options on FANG as a result. In of 93 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 FANG turned negative on September 18, 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 51 similar instances when the indicator turned negative. In of the 51 cases the stock turned lower in the days that followed. This puts the odds of success at .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where FANG declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
Fundamental Analysis (Ratings)
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating outstanding price growth. FANG’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
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 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 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 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 77, placing this stock slightly better than average.
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 (1.740) is normal, around the industry mean (6.192). P/E Ratio (7.849) is within average values for comparable stocks, (16.529). Projected Growth (PEG Ratio) (1.684) is also within normal values, averaging (2.535). Dividend Yield (0.045) settles around the average of (0.125) among similar stocks. P/S Ratio (3.287) is also within normal values, averaging (120.459).
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Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
General Information
a company which develops, explores & exploits unconventional, onshore oil and natural gas reserves
Industry OilGasProduction
FANG and
Correlation & Price change
A.I.dvisor indicates that over the last year, FANG has been closely correlated with MRO. These tickers have moved in lockstep 90% of the time. This A.I.-generated data suggests there is a high statistical probability that if FANG jumps, then MRO could also see price increases.
| Ticker / NAME | Correlation To FANG | 1D Price Change % | ||
|---|---|---|---|---|
| FANG | 100% | -0.52% | ||
| MRO - FANG | 90% Closely correlated | +1.12% | ||
| HES - FANG | 88% Closely correlated | -0.54% | ||
| EOG - FANG | 87% Closely correlated | +0.02% | ||
| COP - FANG | 86% Closely correlated | +0.08% | ||
| MUR - FANG | 86% Closely correlated | +0.37% | ||
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