Check the Quantum Score to See Which of Your Stocks Are in the Buy Zone Now
Is now the time for a stock like Nvidia (NVDA)? Or should you avoid it like the plague?
Even the best analysts on Wall Street would have a tough time answering that question... without a powerful momentum tool like Jason Bodner's Quantum Edge.
But right now, right on your dashboard in TradeSmith Finance, you can get an objective assessment from Jason's proprietary tool on whether to buy, sell, or hold nearly any stock.
Plus, it comes with fundamental and technical scores to give you deeper insights into each investment idea.
Jason's research shows the optimum buy zone range is actually when you see a Quantum Score between 70 and 85. Quantum Edge is all about momentum, so up until that point, it just isn't showing the "hustle" we want to see. Then, when the score gets above 85, it could be a sign that the stock is about to get overheated and sputter out. Log in now to put Jason's Quantum Edge to work for your stock ideas.
Quick Picks
Here are a few stocks that are in the buy zone across Ratings by TradeSmith, our Health indicator, Predictive Alpha, Trade Cycles AND Quantum Edge ...whose companies also earn a top-notch Business Quality Score.
Click to view full size
Note: Our Quick Picks are intended as potential ideas to research, not specific recommendations from TradeSmith or our analysts. Always do your own research.*
SPECIAL REPORT: Big Money Surge: Three Massive Trades Hiding Up to 1,000% in Profits
On any given day, institutions and hedge funds – which manage trillions of dollars – account for between 70% and 90% percent of all trading volume in stocks.
It would be downright crazy to ignore that information... or fight it.
Better to hitch a ride on that big-dollar tailwind, which could boost both the size of your profits and your overall win rate.
When Jason Bodner left Wall Street, he created a system of his own by reverse engineering what he had pieced together during my time brokering these trades. He identified ways to tap into data that shows the trades placed by the big boys on Wall Street, as well as overall Technical scores and Fundamental scores.
In this special report, Jason shares three buying opportunities that score well and have seen those all-important Big Money inflows: all the necessary ingredients to drive prices higher.
In Case You Missed It:
Options360
March 27: Added the VST 19 Apr 24 $60 Put for our Infinite Income Loop weekly trade.
Added seven more short puts for Constant Cash Flow in seven days. Eight others expired for full profits this week.
As for covered calls, our Best Opportunities included upfront income with buy-writes on Range Resources (RRC), Dynatrace (DT), Urban Outfitters (URBN), Helmerich & Payne (HP), and Brinker International (EAT).
March 26: Added Dropbox (DBX) calls in Predictive Alpha Options.
March 25: Added Advanced Micro Devices (AMD) in Predictive Alpha. Buy limit is $180, with a stop-loss of $160.25. Sell limit is $186.50.
Real estate investment trusts (REITs) dominate this week's Top 10 Bullish stocks. Meanwhile, Eli Lilly (LLY) and Google (GOOG) appear in the Bottom 10 Bearish list, along with Boeing (BA). Head over to Predictive Alpha Options for details.
Quantum Edge
March 28: Added e.l.f. Beauty (ELF) in Quantum Edge Pro. Buy limit is $216.18, with a risk point of $132.68.
ACM Research (ACMR) and Airbnb (ABNB) surge to the top of the leaderboard in Jason's Top 10 stocks – while Compass Minerals (CMP) and GameStop (GME) fall into the Bottom 5. Head to Quantum Edge Pro for the full list.
Trade Cycles
March 27: Added the Canadian dollar ETF, Invesco CurrencyShares Canadian Dollar Trust (FXC) in Trade Cycles.
Spotlight on our Tesla (TSLA) and Adobe (ADBE) shorts, up 26% and 11.3%, respectively, in TradeSmith Decoder.
Ultimate Income
March 26: Added Novartis (NVS) short puts, plus rolled the Occidental Petroleum (OXY) covered call into a new option – the OXY 17 May 24 $67.50 Call – in Ultimate Income.
March 25: Added Starbucks (SBUX) and Mondelez (MDLZ) short puts in Ultimate Income, too.
Coca-Cola (KO) was called away for 2.3% when our covered call expired in the money.
Mike Burnick's Bottom Line
Last week, the Federal Reserve once again left benchmark interest rates unchanged, staying on hold as they have been since mid-2023.
But when questioned about whether unemployment might influence their policy decisions, Fed Chair Jerome Powell had this to say: "an unexpected weakening in the labor market could also warrant a policy response."
Translation: Higher unemployment means lower rates sooner rather than later. Mr. Powell should file this comment under "be careful what you wish for."
That's because, as you can see in the chart below, unemployment has been stealthily creeping higher recently:
In fact, the U.S. unemployment rate just hit a two-year high, according to the latest March data release. That's the first time it's been this high since the 2022 recession scare, which triggered a bear market in stocks.
More hard-working Americans are out of work; that's bad news. But in typical upside-down Wall Street fashion, there is also good news:
Historically, a rise in the unemployment rate of this size has been a positive – for both stocks and bonds.
Since the 1950s, whenever the unemployment rate hit a two-year high like this, the Fed has cut interest rates 100% of the time within the next year and by an average of 115 basis points (or 1.15%).
As a result, bond yields have typically declined. As for stocks, the S&P 500 has responded with upside returns 80% of the time, posting average gains of 16.7% over the next year. That's far ahead of the average one-year gain of just over 9% for the S&P overall.
So, while more Americans are out of work today than two years ago, the good news is that interest rates (and bond yields) are almost surely poised to decline – most likely sending the stock market higher.
Good investing,
Mike Burnick Senior Analyst, TradeSmith
P.S. We hope this Roundup makes it easier to access the total value of your subscription – and we're always looking for ways to improve. So, please send us your feedback on our Platinum Roundup to emailmikeburnick@tradesmith.com.
*TradeSmith provides this tool for informational purposes only. The results do not represent a recommendation to buy or sell securities. The information is generic and not personalized investment advice. You should not make decisions based solely on information from this tool and should seek the advice of a qualified investment professional before making any investment decisions. You bear complete responsibility for your own investment decisions. TradeSmith does not guarantee the accuracy, adequacy, completeness, timeliness, or availability of information from this tool. Please see our full disclaimer.
TradeSmith is not registered as an investment adviser and operates under the publishers' exemption of the Investment Advisers Act of 1940. The investments and strategies discussed in TradeSmith's content do not constitute personalized investment advice. Any trading or investment decisions you take are in reliance on your own analysis and judgment and not in reliance on TradeSmith. There are risks inherent in investing and past investment performance is not indicative of future results.
Tidak ada komentar:
Posting Komentar