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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($SPY), AMAZON ($AMZN), Capital One ($COF), META ($META), Keysight Technologies ($KEYS), HESS ($HES), West Pharmaceutical Services ($WST).
SPDR SPY ETF ($SPY
Hello again traders and welcome back to the Hot Stocks Outlook for June 2nd, 2023. I hope y’all are having a excellent week out there in the financial markets. And as always, we’ve got plenty to cover here in today’s Outlook. So if you haven’t already, make sure you go ahead and click on the link below in the description box. You can get a live demonstration so you can learn more of the specifics about how this technology can help you make much better trading decisions in the marketplace.
So as we typically do, we can start out by looking at the SPY ETF and we can see that we’ve had a bumpy road here, and this is why it’s critically important to have the tools to identify the best opportunities in the marketplace so you can benefit as we see markets advance. So as we look at the SPY ETF over the past rolling 12 months, well we can see going back a year, we’re only up about 1%, six months, about three. We keep talking about that rally that started at the beginning of the year, but this is what’s important is things have been very choppy and sideways recently, and this is why it’s critical to be identifying the best markets to get bullish exposure and also just markets that you should avoid and stay away from.
So as we go ahead, let’s go ahead and start here with shares of Amazon. And this works the same every single week, every single forecast, every single evening for the trader. And what you have here is daily price action, so each one of these candles that you see represents a full and complete trading day. And so right up against all that daily price action, what you’re seeing is that there is a black-line value and a blue-line value right up against the chart. And so what that black-line value that you’re seeing there is, well that’s actually a simple moving average. This is a very common technical indicator. In this case, it’s a 10-period simple moving average. So just look back at the last 10 closes, add those all together, and then divide by that number. So what that does is it smooths out the existing price action, so it really acts as a baseline for VantagePoint users to know where the market has already been over a given period of time.
But traders need to be ahead of that next rally in the marketplace, and so what we’re able to do is actually compare that black, what you might call a lagging moving average, and we compare that to this proprietary predicted moving average. And so for this value to get plotted and calculated for the trader every evening, essentially a forecast of average prices moving forward, well this is where the technology of artificial neural networks come into play, and they’re performing what we would call intermarket analysis.
Now Amazon, very important stock, well it’s going to share market relationships with things like the broader S&P 500 or things like the Nasdaq, those broader indices. But what most traders aren’t doing at all is understanding how global market relationships, whether they’re taking place in ETF groups, whether they’re taking place in other individual stocks, maybe they’re inverse correlations, positive correlations, all the way down to individual commodity markets, things like dollar index, things like oil, gold, copper prices, and so it’s taking all of this into account, understanding how those competing market relationships are affecting the target market that you’re trading, in this case, Amazon, and it’s using those clues derived via that intermarket data to generate highly accurate price predictions.
And so rather than using tools that just look back at the past and just rearrange what’s already occurred, we have a forward-looking predictive tool that has an extremely high level of accuracy to help traders solve different problems. So when we’re trying to identify, hey, where are these shifts in the marketplace? Are we moving into an uptrend? Well whenever that blue predicted moving average crosses above the actual moving average, well it’s suggesting average prices are expected to move higher. And so we see here in shares of Amazon, since that forecast came through, the blue line has remained above the black line, so that forecast has remained signaling average prices are expected to keep going up, and you see that we’re up about 16% over the past 18 trading days. And so this is now 18 trading days, almost a month on the calendar.
Well if you’re trading Amazon, how do you want to be positioned in that market? Well you only want to be long, taking profits on longs, and we see that’s resulted in a nice rally here. But VantagePoint provides really a suite of indicators to solve different problems. If you look at the very right-hand side of the chart here, every week we look at these predicted high and predicted lows. These are intraday levels provided. Again, those neural networks really solving a different problem for the trader as far as short-term prices. And at the bottom of the chart, we have a predicted neural index that’s solving really a short-term strength or weakness just over the next 48 hours, or you can think of that as a couple of candles on the chart.
And so this is how we can understand, okay, well if I want to be long Amazon, I understand that blue line is above the black line, that neural index, that short-term strength in the market as that trend gets started, is fairly bullish here. And we see that as the market moves forward, you might get this move lower in the neural index, and you see that prices move below the previous close. Again, prices moving below the previous close, but the overall trend is still up and obviously a very nice rally here in shares of Amazon.
But let’s go ahead and move on, look at additional opportunities with the help of these indicators.
So here’s shares of Capital One. We’ve had a little bit of perking higher in financials. Actually, the markets are starting to perk higher. Broadly speaking, we see the SPY is still in an uptrend. But here we see shares of Capital One at a very strong crossover to the upside. Last week we talked about some of these financials doing well, neural index, very bullish, that short-term forecasting highlighting strength. And you’ll notice that when the neural index goes bearish, we get a little bit of a sideways price action, but that prediction of the moving average is still well above the actual moving average and the trend is still up.
So lastly, like we do each week, we can look at, well what were those predicted highs and lows telling you each and every trading day as we move forward through time in shares of Capital One? And of course, we can go ahead and bring up those predicted highs and lows and take a look, and you see that you have this guidance that says, okay, well look down towards these predicted lows to establish a position. And really this just being this last week, we had Memorial Day, so this is Tuesday, Wednesday, Thursday. Well if you’re looking for a place to buy, you have a market with the market I’m overall uptrend, neural index forecasting strength of the next 48 hours, and then the market moving down towards this predicted low. So you can have limit orders ready to go, so you can scoop up shares at really good prices where traders usually aren’t ready to go ahead and be buying up at the right time. Well here, you see that’s already a rally of about 3.6% and a excellent weekly entry moving into a more and more bullish market as things move forward.
Here’s shares of Meta platforms, and we keep looking at this over the past few months here. Well over the past few weeks here, that blue line has crossed above the black line, resulting in a 14.7% rally in 13 trading days, again, about two and a half weeks now. Very clearly, you want to trade Facebook Meta, you’re on the bullish side. We have one day out of the 13 where the neural index is bearish. So this neural index has a very high level of accuracy, upwards of 86, 87% accuracy. That’s through earnings, that’s through fed announcements, and you really see it here. It’s as the market advances, you keep getting a consistent short-term forecast that says up, up, up, and you also get the guidance from those predicted highs and lows really every single day here that says, okay, well if you want to buy Meta, look down towards these predicted lows to accumulate a position.
And again, this past week, where are you looking in the market? Well this dip that we had on Wednesday seems to be a very good opportunity to buy in a bullish market with the neural index bullish towards those predicted lows where we should expect those extremes in prices. So again, just this past week, want to look short term for the shorter-term traders in the market here, almost a 5% rally into trading days with the market barely pushing against you at all.
Here’s Keysight Technology again, just highlighting where is the strength in the market? Where should the focus be as a trader as far as identifying new trading opportunities? And so we’ll go ahead and take a look as that blue line crosses above the black line in Keysight Technologies. We’ve got to move about 13% over the past 18 trading days. But traders need to manage these sorts of opportunities, and so as each day rolls forward, as the trader is moving forward through time, well what information do they have? Well it says, okay, well buy at this predicted low. The beauty of this is in reality, you’d get filled at the open. The market says, okay, well expect the market to maybe come back and retest that open. Well no, the trend is just up. You only want to go long here. And you see how as you move down to these predicted lows, you want to be a buyer. Within essentially 24, 48 hours, this market’s moving higher and advancing towards the predicted highs and resuming the uptrend that we’ve identified here over the past few weeks. So again, Keysight here, really nice opportunity, again, in a pace with the rest of the market here, about a 13% rally over 18 trading days.
Now we have talked about weakness in the market, and so this is the beauty of this. You look at that SPY ETF, it’s chop city, no clear direction. We’re grinding up, but you’ve got these vicious moves lower, and if you’re in those stocks when the S&P has those vicious moves lower, well you’re going to have a problem.
Well one of those areas we identified of weakness was energy. And we were talking about Hess and Exxon on the way up. We had Saudi Arabia announcements, and the market just gapped up seven or 8% in a day in the oil market. That is not the case anymore. And so while these markets have been doing really well, and you can identify specific stocks where you may want to go ahead and set up shop and take long positions, you want to avoid the energy space over the past couple months. So we see as the blue line crosses below the black line here in Hess, we’ve had shares keep declining. And this is how traders can use this information as we move forward through time that says, Hey, is Hess ready to go? Are we getting that blue line crossing above the black line? Well no, we’re not, and we see that shares are off 11% over the past 29 trading days.
And with the help of things like VantagePoint’s predicted highs and lows, you can see that all you’re getting is the information that says, look, this isn’t a downtrend. You get these moves up towards these predicted highs. All you want to do is short, take profits on shorts, and then we see this past week, so many better markets to be getting bullish exposure in the marketplace. So we’re seeing this market perk up a little bit here recently, some more volatility as shares keep going lower. But does this look anything like Keysight Technologies or Facebook and Meta or Capital One or Amazon? No, it’s completely different, and you got a down slope, a blue line below the black line, and a lot of weakness here.
West Pharmaceutical Services ($WST)
Last week we looked at West Pharmaceutical Services, again, just highlighting some weakness in the market. Where is that taking place? Where are markets where we maybe want to hedge the market in short or just completely avoid. Let’s get long where there’s bullishness and get out of the way where things are moving lower. Well here we see West Pharmaceutical Services, you have that blue line crossing below the black line, the market trending lower. But again, just look at the last week here. Market’s off about 7% in past 16 trading days. Is this the market where you’re going to make a bunch of money this week as a short-term trader? Well no, there’s better opportunities, better places, to line up where you could have bought on Wednesday, and we see markets advancing and moving higher three, four, or 5% just in the past couple of days.
So just want to, again, highlight many of these opportunities we keep looking at each and every week, but this is why it’s critically important to understand, okay, well what are the broader markets doing and where can I identify the actual areas of strength so you can set up a portfolio of longs and shorts to really benefit regardless of what we get here in the broader markets and the broader indices.
So with that, I’ll leave it there. Have a great rest of your week. Once again, this has been the Hot Stocks Outlook for June 2nd, 2023. Thanks again, and bye for now.
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