Auto-Trader: Day (40%), Swing (25%), Short (35%) Strategic Sector Rotation in Volatile Markets, long/short (TA)

Day Trader: Targeting Dips in Medium Volatility Stocks (TA&FA)

Overview and Suitability: This robot for Beginners specializes in trading medium-volatility stocks with a strategy that emphasizes infrequent, strategic trades—averaging around 15 trades per period. The primary approach involves entering the market following a moderate increase in volatility, typically during a corrective dip.

The robot triggers an entry after a 5% or greater rise in volatility, anticipating a market reversal. It aims for a take profit of approximately 3%, allowing traders to capture gains once this threshold is met. Trades can be initiated at any point during the trading day, offering flexibility to optimize entry points. The stop loss parameters vary from 2% to 15%, contingent on market conditions and other influencing factors. With a win rate exceeding 70%, this robot provides a reliable and appealing option for novice traders. It exclusively trades long positions, simplifying trading and mitigating the risks tied to short selling.

While drawdowns can reach up to 25%, the robot is designed to swiftly recover positions, thereby minimizing losses and enhancing profit potential.

Strategic Features and Technical Basis

• Medium Volatility: The robot capitalizes on spikes in medium volatility, ensuring trades are executed only when market conditions are optimal.
• Dip Trading: Trades are initiated during a dip, when the market experiences a temporary decline. The robot strategically selects the most optimal channels for trade execution, effectively leveraging market fluctuations.

Stock Picker: Advanced Sector Rotation for Broad Market Investors (FA)

Overview and Suitability: The robot is designed for intermediate traders looking to capitalize on sector rotation strategies. This approach focuses on identifying the strongest-performing sectors in the stock market at any given time, based on fundamental analysis (FA). Unlike technical-based strategies, Trend Trader relies on analyzing the core financial health of stocks within different sectors to determine their value and growth potential.

With a selection of 12 key market sectors, the robot evaluates a broad array of stocks, providing ample diversification. Its suitability lies in its focus on sector rotation, a proven strategy that takes advantage of the cyclical nature of sector performance. This strategy is particularly beneficial for intermediate investors who have a basic understanding of market trends and want to leverage data-driven insights without constantly monitoring every market move.

Strategic Features and Technical Basis: The robot stands out for its use of sector-specific fundamental analysis. Each sector it monitors—from finance to healthcare—has a unique set of fundamental filters applied. These filters include some of the most respected and established fundamental models in the industry:

• Piotroski Score: Measures the financial strength of a stock based on profitability, leverage, and operating efficiency.
• Neff Ratio: Used to identify undervalued stocks by comparing price-earnings ratios with growth rates.
• Greenblatt Formula: Focuses on return on capital and earnings yield to pinpoint high-potential stocks.

The sectors covered by the robot include:

• Finance (XLF)
• Materials (XLB)
• Transportation (XTN)
• Real Estate (XLRE)
• Technology (XTN)
• Communication (XLC)
• Industrials (XLE)
• Energy (XLE)
• Consumer Staples (XLP)
• Utilities (XLU)
• Consumer Discretionary (XLY)
• HealthCare (XLV)

By employing different filters for each sector, the robot ensures it selects the best stocks based on criteria specific to that sector's market behavior and financial health. For example, a Piotroski score may be more relevant for evaluating industrial or material stocks, while the Greenblatt formula could be more effective for identifying promising technology or healthcare companies.

Disclaimer:  Disclaimers and Limitations 

Simulated Performance: All simulated performance results are derived solely from real-time calculations using historical data. Algorithms receive minute-by-minute historical prices and other data from Morningstar and generate trades in real time based on these historical inputs, effectively eliminating any hindsight bias. 

Actual Performance: All actual performance results are derived solely from real-time calculations using current data. Algorithms receive minute-by-minute current prices and other data from Morningstar and generate trades in real time based on these current inputs, effectively eliminating any hindsight bias. 

Gross Performance: Gross performance results do not deduct any fees or expenses. These results reflect the total returns generated by the AI Robots without considering the costs associated with accessing the service. 

Net Performance (current performance chart): Net performance results deduct fees to provide a more accurate representation of returns experienced by the user. These deductions can include: Model Fee Deduction: Net performance results may deduct a model fee equivalent to the highest subscription fee charged to the intended audience. Actual Subscription Fees: Net performance results may also deduct the actual subscription fees paid by the user for access to AI Robots