Vantagepoint A.I. Hot Stocks Outlook for August 5, 2022

Register for a Free Live Training

The Hot Stocks Outlook uses VantagePoint’s market forecasts that are up to 87.4% accurate, demonstrating how traders can improve their timing and direction. In this week’s video, VantagePoint Software reviews forecasts for Paypal ($PYPL), Tesla Motors ($TSLA), Vulcan Materials ($VMC), NXP Semiconductors ($NXPI), Pulte Homes ($PHM) and W.W. Grainger ($GWW)

Hello again traders and welcome back to the hot stocks outlook for August 5th 2022. Hope y’all are having an excellent week out there in the financial markets. And as always, plenty to cover here in today’s outlook. And if you’d like to learn more about these predictive indicators, make sure you click on the link available in the description below. You can get a live demo learning exactly how this technology can help you throughout your trading week.

So we’re going to go ahead and we’ll start out here. We have shares of PayPal, we also got Tesla, NXP Semiconductors, Grainger, Pulte Homes, and Vulcan Materials. So we’ve looked at several of these over the past several weeks and really just updating these forecasts that traders can understand how they can really exploit these trading opportunities here.

Paypal ($PYPL)

Paypal ($PYPL)

Now, starting out with shares of PayPal, what we have here is daily price action. So each one of these candles is representing a full and complete trading day. And right up against all that price data, you’re going to notice that there’s a black line and a blue line right up against the price there. Now, what you see with that black line or that black value there is actually a simple moving average. So this is actually a very common technical indicator and what it does is it’s looking back over the previous 10 closes in this case, it’ll add those all together, divide by 10, and that smooths out the existing price action, but it really acts as a baseline letting us know where market prices have been over a given period of time. And because all of the data that constructs that indicator just comes from past close prices, it’s always going to lag behind what’s already occurred in the marketplace.

And so what we’re able to do is actually compare that black lagging or simple moving average to this blue line or this blue value against the chart, and for that number to get plotted and charted for the trader every evening, this is where VantagePoint’s technology of artificial neural networks is coming in and doing what’s called intermarket analysis. So that means specifically for PayPal, VantagePoint has identified markets that are known to influence and drive future price movement. And what the technology’s able to do is dig into those market relationships, learn whether those be lagging, leading, inverse, or positively correlated relationships, and it actually uses those market relationships to generate future price predictions.

Now, it’s going to use markets like the S&P 500, it’s going to be use ETF groups, but it’s also going to use very important things like the dollar index, global interest rates, global futures and commodity prices like gold, oil. So this is very important. And what most traders aren’t taking into account is how are things like the dollar affecting my portfolio? And if you don’t have anything really behind the scenes handling that for you, you’re probably going to get constantly surprised by what you see in the marketplace.

So starting out with PayPal, what we have is that blue line you see crossing above the black line, and that suggests average prices are going to start moving higher. And therefore, as a trader, you’d want to look to go long, take profits on long positions, really connect that with your timeframe and trading style. And you see here, shares of PayPal at 31% over the past 14 trading days. Now, that’s just where that blue line crosses above the black line and taking us to where we are current day here, but you also have other indicators that can help you manage different problems within the trading day.

So if you look at the very bottom of the chart, you’ll see you have a bar that goes from green to red, back to green. And this indicator is also derived via that technology of artificial neural networks, but they’re tuned to solve a different problem. So while still looking at those intermarket relationships, what this indicator is actually able to predict with an extremely high level of accuracy, upwards of 80 plus percent, that’s through earnings, Fed announcements, all of this, of short term strength or weakness, right? So it can get this short term strength or weakness right upwards of essentially four out of five times. And you can tie that into the overall forecast. And you every week look at this and you see that neural index goes bearish, you may get that weakness over the subsequent 48 hours of price action. But as long as that blue line remains above the black line, well, we see trend is still up and we had a really nice week as a lot of these earnings came through and share’s doing quite well.

Tesla Motors ($TSLA)

Tesla Motors ($TSLA)

Now, here’s shares of Tesla. We actually looked at this a couple weeks ago, and what we’d seen is this blue line crossing above the black line, suggesting, hey, we’ve got a lot of markets actually starting to move into this uptrend, but specifically, if you wanted to trade Tesla, you see that blue line holding above the black line for the duration here, but you’ll notice that when that neural index goes bearish, you get that warning of short-term weakness within the uptrend over the next 48 hours, right? We have another blip here where you see it goes bearish, quickly gets back up to green.

And when you’re using tools like this every single trading day to make those trading adjustments and understand, gey, do I want to be long Tesla, short Tesla, do I want to take some profit? Well, here again, you see about a 31% rally, but every trader who’s using VantagePoint is also provided a predicted high and a predicted low, again before each and every trading day that occurs. So what we can do is actually look back at those predictions on what you can think of is essentially an intra day timeframe and we can see how accurate all of those predicted high and low levels are for the trader, again, provided before each and every trading day.

So the Tesla trader using VantagePoint understands that, well, look, early on in this move, let’s look for these markets to move down towards these predicted lows. We see all these days where if you have a limit order, you’re going to get filled at the open. And keep using these tools to adjust and manage the position. So you even see during this week, getting that move down to the predicted low on a gap down and immediately starting to move higher over the past couple of trading days here. And you just see the amount of strength here from the neural index highlighting those areas in the market where traders should look for opportunity. And so again, just really nice moves here, and it’s just critically important to get in front of these things, get those positions on early, so you can really manage those effectively as the markets move forward. And when we go ahead and look at Pulte, which we looked at a couple weeks ago, it really highlights how making those adjustments and understanding how to adapt to those situation is really critical.

NXP Semiconductors ($NXPI)

NXP Semiconductors ($NXPI)

So moving on here, we have NXP Semiconductors, and let’s just take all of these tools and how we understand them. And we see that blue line crossing above the black line, suggesting average prices are going to start moving higher. You see that neural index, that 48 hour indicator letting you know early about that short term strength or weakness. You see that you get a blip here, you get little bit of sideways price action over the subsequent 48 hours. Here again, you see neural index going bearish, running a little bit sideways for the past 48 hours here, but the overall trend, right, it’s still very much to the bullish side.

And we can look at those really fine tuned predicted highs and lows and how might those have assisted as you’re looking to manage these differing trading opportunities. And you see really midweek this week, that being Tuesday’s session, they’re getting that dip early on in the week and seeing strength play out since then. And so if you want to really exploit that market strength through tech stock here like NXP Semiconductors, well, you have all the tools before the trading day occurs to get ahead of that move. And you see about a 21% rally here just over the past 19 trading days.

W.W. Grainger ($GWW)

So we’ll move forward, exact same approach here, shares of Grainger. And this being a lot more recently, but again, you see that blue line crossing above the black line, neural index bullish, so again, those are 48 hour forecasts moving forward. And you see more recently that neural index getting bearish, and you’ve seen shares run a little bit sideways here. But what, again, traders need to understand is if you’re a trend trader, how do you recognize that shift in the market early? Really like you go back to last month, mid-June looking at the Apple charts and why we keep bringing that through, because the forecast keeps signaling the trend is to the upside. So here in Grainger, you see about a 15.6% move to the upside in just the past 11 trading days.

And this is where all of these tools can help you recognize the shift, but more importantly, day to day help you with that trade management of knowing when to take profits, where to look at the lower part of this range. But like I said, again, just help you out. We got about 1, 2, 3, 4, 5, 6, 7, 8, 9 entries here as the market moves up about 15% just over the last 11 trading days. So again, if you’d like to learn more about these indicators and these tools and how really regardless of your trading strategy, you can find really the timeframe and tools to go ahead and help you, whether you’re a day trader, short term, swing trader, to really help you recognize the best trading opportunities in the marketplace. So make sure you go ahead and click on that available link, get that live demonstration, learn how these tools are going to help you.

Pulte Homes ($PHM)

So moving on, let’s move over to Pulte here. And this is really interesting because we’ve had a very strong market and that’s really been the highlight over the hot stocks outlook is we’ve got strength coming in here, we see it all over the place, whether it be Apple or Ford, Tesla, building material companies. But here in Pulte Homes, we had this blue line crossing above the black line. And so that indicated that all right, well in the home building stocks, well, maybe you might want to look to go ahead and exploit the bullish side of the market here.

But what we need to understand over the past couple weeks is that while tech stocks and a lot of these other areas are doing quite well, there’s been a shift here in Pulte. And so while the market advanced about 12% from that blue line crossing above the black line, you see more recently, in a week where the market has done actually quite well, you actually have a bearish forecast here and almost exactly the opposite of what the broader markets have done. You see here actually getting a little bit of a rally there early on in the week on Tuesday and things moving lower here, right? So that early rally in the week and shares off about 5% just over the past four trading days. So you see very plainly here that as far as going into the week, well is Pulte and the home building stocks maybe where you want to exploit those bullish opportunities, or maybe you want to focus in maybe even within the capital good space, but where those forecasts are looking strongest.

Vulcan Materials ($VMC),

So here’s Vulcan Materials. We looked at this last week. And you can just see how strong the forecasts are as far as that blue line well above the black line, no confusion there as far as the overall trend direction. And then that short term strength, you see the neural index down for one day, but very quickly remaining bullish there and saying, “Look, you want to expect some movements to the bullish side here, at least over the next 48 hours.” And there we see Vulcan doing quite well. Again, you’ve got a lot of earnings reports and things that are going to be coming through a period like this, but you see that regardless of the markets that you’re trading. Through all of those earnings reports, you want to make sure that you’re in the right areas, focused on the right things, and really getting stuff like the home builders and things like that out of the way, at least in the short term here.

So you see Vulcan Materials up about 16% just over the past 21 trading days. But when we look very closely at this, just over the past week here, we can, again, look at these predicted highs and lows. And you see, as all this volatility comes in, how effective these levels can be to say, okay, well, we didn’t quite get down at these earlier predicted lows, but you’re still getting a very good fill here as far as the average prices you’re going to go ahead and get involved in if you’re trying to keep exploiting that bullish side of the market here.

So once again, we’ll go ahead and leave it there for today. This has been the hot stocks outlook for August 5th 2022. Hope you’ve all had a great week in the market. We’ve certainly seen a really bullish period here, but we’re also seeing volatility heat up. And this is especially important why you want to focus on really the markets that are trending and doing well and adjust things, right? So when the market shifts and maybe an area where you’ve made a lot of money is now showing a bearish forecast, well, that we can go ahead and take that capital, divert it over to areas where the forecast is strong and still showing that the market is still trending or moving in the desired direction, and be a much more adaptable trader, really evolve with those changing market conditions because that’s what trading is. It’s really recognizing these shifts in the marketplace, getting ahead of them, making the most out of each and every trading opportunity. So once again, this has been the hot stocks outlook for August 5th 2022. Thank you all for watching. Best of luck and bye for now.

Source link