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 SPDR SPY($SPY), iShares Russell 2000 IDX ($IWM), Nvidia ($NVDA), Boeing ($BA), Coinbase ($COIN), Ford ($F), D.R. Horton ($DHI), KeyCorp ($KEY)
SPDR SPY ETF ($SPY)
VantagePoint A.I. Hot Stocks Outlook for December 20, 2024
Hello again, traders, and welcome back to the Hot Stocks Outlook for December 20th, 2024. Hope you all have had an excellent week out there in the financial markets. As always, we’re going to take a look at the most recent VantagePoint A.I. predictive forecast. So, if you haven’t already, go ahead and click on the link down in the description below and get yourself signed up for a live demonstration, so you can learn all the specifics about how these predictive technologies are helping traders make much better trading decisions out there in the marketplace.
Now, as we typically do, we start out with the S&P 500. We’re actually going to take a close look at iwm, so another major index here. But looking at the S&P as we typically do, well, what we can see is that our year-to-date number that was pushing up against 28 is now down to 24. That’s because we’ve seen a very abrupt and aggressive decline in the major indices. So, if you watched last week’s hot stocks outlooks, we talked about how, well, you know, the Dow and the Russell are actually turning lower, and so you might want to be really careful.
So, we’ll actually review many of those bearish markets we looked at last week: KeyCorp (KEY), Ford (F), even D.R. Horton (DHI), really more than half of the markets brought in last week to the bearish side, and really focusing on a few of those stocks that held up okay right before the S&P and the broader indices now turning lower here.
iShares Russell 2000 IDX ($IWM)
But here in iwm a iShares Russell 2000 IDX ($IWM), a really nice example of how all this works off of daily price action.
And so against all of these daily candles, what you’re going to see is a black line and a blue line value. So the black line that you’re seeing there, that is a simple moving average or what we refer to as the actual simple moving average. And for this, this is a very common technical analysis tool in that it really just looks back at the previous 10 closes, adds them all together, and then divides by that number. So it summarizes what’s already occurred in the market. It doesn’t have any predictive capability.
And so what we’re able to do is compare that lagging moving average, or that actual moving average, to this proprietary predicted moving average. And for this number, essentially a prediction of future prices gets calculated and plotted on the chart every evening. Well, this is where that technology of artificial neural networks comes into play, and they’re performing what we would call intermarket analysis.
So what that means is that rather than just looking at the past prices of the Russell and really reconfiguring technical indicators along those grounds, it’s able to look at intermarket relationships. So really decipher price clues that come from things like the major indices, whether that be the S&P 500 or the NASDAQ. It can also find relationships in individual stocks that are significant to the marketing question, and it’ll even look at global markets like currencies, global interest rates, and even global commodities like gold, silver, or even agricultural commodities.
And so specifically to the Russell, it understands which markets to really pull these price clues from, and then generate highly accurate predictive indicators. And that’s what we look at each outlook here in our hot stocks Outlook. And so as long as that blue line remains below the black line, the overall trend is expected to go lower. And so we can see if we go back, you know, 5 days ago, to what these forecasts look like. Well, why are we anticipating weakness in the broader marketplace? Well, because the Russell and the Dow are in very strong downtrends, both the trend and the very short-term predictive neural index, which we’ll go ahead and take a look at here shortly.
And so we have this really sweet of indicators down to predictions for the next day’s high and low. And as we look at those predictions, we can say, okay, well, over the past couple of weeks, how have these indicators performed? Well, really, at the start of this trend, they’ve been pretty much spot-on day after day after day. So, you see one, two, three, four, five days here where you scoot up to that predicted high and then immediately going lower.
So, whether you’re day trading, whether you’re accumulating a position on the bear side for a swing trade, you’re getting really excellent entries and guidance from these predictive indicators. And so, lastly, and we’ll look at this in subsequent charts, we have our predicted neural index at the bottom of the chart. And this can go from green to red and back to green. And here you see it’s just solidly red.
And this indicator is tuned to solve a different problem, really just looking at the short term, the next 48 hours, or you can think of it as two candles, strength or weakness in the marketplace. And so, as we get that persistence and weakness, well, we go lower. Some markets, we’ll see, we get a little bit of short-term strength, and that’s where the neural index is helpful, but you don’t want to lose track of the bigger move and the bigger trend that’s playing out.
So, let’s go ahead and move forward to KeyCorp here, and this was a market that we looked at last week because, again, when you see so much weakness in the equity space, it makes sense to either hedge the portfolio, go to cash, or, you know, just avoid certain markets that may have been good contenders earlier in the year but are currently projected to go in a downtrend. So here we see KEY, we see that predicted moving average crossing below the actual moving average. Look at your neural index at the bottom here; it stays very bearish but it clicks up to that green configuration here, and you see the subsequent price action over the next 48 hours is somewhat bullish. Right, there’s some short-term strength coming in, but the overall trend is that neural index flips bearish. That’s where we see that momentum kick back into the market, and shares go lower.
So, again, just over the really, just you know, past few trading days, you can see this guidance you get from these predicted highs, saying, try to short up near these levels if you want to add to that position, but numerous entries just like with, you know, the Russell and some of these other indices of seeing this weakness come in and identifying where to get those short positions on. So, really nice opportunity here in shares of KeyCorp, seeing the market scoot a little bit lower here. And overall, this becoming an 11% decline here in just the past 13 trading days.
So, again, just a fairly small position there, pretty well in profits over a short period of time.
Here’s Ford Motor again, another market that we looked at last week. Ford (F). Blue Line crossing below the black line, neural index very bearish here. You see it kicks up to a one. So again, projecting over the next 48 hours, expect some strength. But you’ll notice that once that strength comes in, you get a little bit of a gap up and probably some trading up at these levels. Well, after that trading day is concluded, you’re back down to a bearish neural index, and you see that momentum really kicks back into the marketplace.
So, another area where we’ve seen just weakness over the past five trading days since the last forecast, and you see an excellent entry as far as getting short on Ford Motor here, and even yesterday, moving to that predicted high and then going lower. And certainly, coming into Friday, we may see some more weakness here, to really round out the end of the week here. So, nice move lower in Ford Motor. Um, and and just identifying again, this weakness that we’re seeing really spread out fairly broadly across the market and even weighing into you know, things like Nvidia and some of these markets again that have performed extremely well. So, another 11% decline over the past 13 trading days.
Here’s D.R. Horton, so home builders are all not looking well. Blue Line crossing below the black line, neural index very bearish. Uh, we had one day where it clicked up bullish and then immediately back down to bearish mode, and uh, declining further. So, we can again look at this last week of predicted highs and lows and excellent entries to establish a short position, and yesterday starting to gap down and and really aggressively go lower. So again, just to offer that forewarning that okay well, we’re starting to see this weakness, where if we want to take bearish positions in the market, does that make sense? And the forecast do a good job of really pointing you to where is that weakness really playing out here.
Um, here are shares of Nvidia and another good example of how all these predictive indicators work together. So again, we see our Blue Line crossing below the black back line, neural index gets bullish here, and you see again, 48 hours, you know, a couple of days of subsequent price strength, some Gap UPS going into this next trading day, but the trend is very very bearish. Let look at this distance between the predicted moving average and the actual moving average, and again we’ve got predicted highs and lows that as the week progresses, we’re getting these levels before each and every trading day. So again, you’re getting really this level standing out as that’s really where you want to be short uh and then we get that level coming in 13 and the market really giving things up uh moving very quickly below 130 there. So again, just highlighting that this this isn’t really you know there is some broad-based weakness and that’s what we saw really play out um you know really yesterday in the equity markets and this is where Vantage Point really get you ahead of this and positioned appropriately to benefit while we see volatility really kick into the marketplace.
Uh, one of the few markets that’s actually been Boeing and a good example of how all of these predictive indicators work regardless of the type of TR trading that you’re doing. So you know, looking for short positions well Boeing was a great opportunity to get on the short side, you know, in the previous months but now we see this Blue Line crossing above the black line, neural index bullish but a little bit more variation here with our neural index as we see here markets running sideways for a good bit of time before that momentum kicks back into things uh but one of the you know rare markets with the short-term price action that we’ve seen where the trend is actually up and the market is trending higher even as broadly shares go lower. So 21% advance in just the past 19 trading days.
And Coinbase Global (COIN) lastly, we’ll end here on Coinbase and so this is actually an excellent example of how the combination of these predictive indicators can help traders really know what to expect in the market. So we get this rare instance here we actually see that Blue Line crossing below the black line and the neural index bullish. And look at the price action that you get here over these subsequent candles. Right, we’re not going lower, but notice that while we’re not going lower in price, the spread between that actual moving average and predicted moving average is remaining bearish and actually skewing more and more to the bearish side. Uh, and so as we you know really get into this aggressive broad-based weakness really kicking in across the major indices is where you really see those in Market relationships really starting to drive markets in a particular direction. Uh and we really see that weakness play out. So, neural index gets bearish, we’ve pretty aggressively gone lower but let’s again look at those predicted highs and lows. Right, so when you have that information that says okay well here was our crossover day, look towards these predicted highs if you want to go ahead and short and then look to take profits on those short positions based on your time frame and approach. So uh, really nice opportunities playing out on the bearish side here but of course, you know, you want to be ahead of these moves and really the best thing that you can do um is really identify a lot of these shifts early, see what sort of stocks and indices and ETFs that are really getting wrapped up in this and you can really do this with the help of Vantage points in Telescan which will really present these opportunities as they occur so you can recognize hey, there’s weakness in the Russell you know all the way back at the beginning of December rather than you know before it’s a little bit too late.
So uh with that, that’s been our Hot Stocks Outlook for December 20th, 2024. Thank you all for watching. Best of luck out there, and bye for now.
Source link
#Vantagepoint #A.I #Hot #Stocks #Outlook #December