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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($SPY), Amgen ($AMGN), Moderna ($MRNA), SPDR S&P Biotech ETF ($XBI), Alliant Energy ($LNT), Meta Platforms ($META), Microsoft ($MSFT)
SPDR SPY ETF ($SPY)
Hello again, traders, and welcome back to the Hot Stocks Outlook for May 3rd, 2024. I hope you all are having an excellent week out there in the financial markets. As always, we’re going to take a look at the most recent Vantage Point predictive forecast. So, if you haven’t already, make sure you go ahead and click on that link in the description below. You can sign up for a live demonstration to really learn all the specifics about how this predictive technology and these tools can help you make much better trading decisions in the marketplace.
Now, as we typically do, we’ll take a look at the broader market via the SPDR SPY ETF ($SPY). This has been a very interesting few weeks because we’ve really seen the broader indices run sideways. And so, this is why it’s very important to identify where the best opportunities in the market are, and this is where Vantage Point’s predictive forecast can be quite helpful.
We’ll go ahead and start out with Amgen ($AMGN) because this is actually a really good example of how all of these predictive tools work together. So, what you have with Amgen is daily price action. Each one of these candles that you see up against the chart represents a full and complete trading day. Right up against that price data, what you’re going to notice is there’s a black line and a blue line.
The black line value is actually a simple moving average, or what we refer to as the actual simple moving average. This is a very common technical indicator, and in this case, it’s a 10-period simple moving average. So, we look at the last 10 close prices, add those all together, and then divide by 10, and what we’re able to compare that to is this proprietary predicted moving average. This number gets calculated and plotted every evening for the trader. This is where the technology of artificial neural networks comes into play. Specifically for Amgen, there are known markets that will drive and influence the future price of Amgen over a very short-term period of time, from one to three trading days.
This can be broader ETF markets like biotech ETFs. This can be other individual stocks as well as things like the broader futures market. What’s going on with the S&P 500 or NASDAQ futures? What’s going on with gold prices, and also what’s going on with things like the dollar index or global interest rates? It really takes this global approach, looking at dozens of markets that are known to drive specifically Amgen, and then it generates what are essentially these predictions of where markets are likely to move.
In this case, when we get this predicted moving average moving above the actual moving average, well, that lets us know that the overall trend is up. And so, we can actually use features within Vantage Point like the IntelliScan. This allows us to sort via these predictive indicators. So when we’re looking for new opportunities, we can set this to one, set the values to up, and set these other predictive tools to really fine-tune which markets we want to identify and trade.
What’s been interesting with this past week is we’ve seen that, okay, well, Amgen, Moderna, and actually the biotech ETFs, well, that’s where you’re seeing actual some strength in the market, and the normal places that usually drive the indices actually aren’t doing so well. So, this is why you really want to be able to navigate this and be quite careful. Once that blue line moves above the black line, we expect the overall trend to move to the upside, but we have some other tools to really refine this. That being the neural index at the bottom of the chart, which you see this bar that goes from green to red. This gets updated every single trading day. So, this would be the most recent forecast on the right-hand bottom part of the chart here.
Then, we’re given a predicted high and predicted low range, and so this is what we look at week to week. And so, when we identify those shifts in the marketplace, and then I can identify a broader sector and say, “Okay, well something’s going on here in Amgen,” well then we can utilize those tools and look back and say, “Okay, well, how accurate are all of these predicted high and low levels as we start to move forward in the trend?” So you see, as we get this crossover to the bullish side, we get our predicted low first hit here. So, you actually get a little bit of gap down. You actually be filled right at the open there, and you’ll notice that the neural index goes bearish, and so you get a couple days of weakness.
Again, that’s always going to be a 48-hour tool, a 48-hour indicator, and again, you move down towards these Vantage Point subsequent predicted lows. But as long as that blue line remains above the black line, the overall trend is up. And you see as this market recovers, we get that momentum starting to pick up and starting to move up towards those predicted high targets here.
So, really nice move here in Amgen, but we’re seeing a pretty similar situation here in shares of Moderna (Moderna ($MRNA)).
We’re actually seeing a lot of earnings that you know acting as catalysts in some of these markets. But here’s Moderna, and so we take that same approach and say, “Okay, well we’re seeing this blue line cross above the black line. We’ve got a lot of strength from the neural index.” And going through this week, I mean really since Monday, is really where we see this biotech ETF get bullish. But here, you see just a lot of strength in the sector.
So then we can come in and say, “Okay, well let’s use our Vantage Point predicted highs and lows.” You see actually on this trading day, we actually moved down towards the predicted low, 109.55, the predicted low 109.55. So, pretty much a perfect entry for the week as we see the market really move to the upside, earnings really acting as a catalyst there. But also, identifying again this whole sector doing quite well. So when we look all across the biotech space here, you see Moderna up about 14%, but just the whole group actually doing quite well.
Here’s the SPDR S&P Biotech ETF ($XBI). I wanted to zoom out here, and we can see that, well, previously the market had been in a strong downtrend, right? So, we understand that the broader markets are moving lower, that includes the ETFs, the SPY, the Q’s, these individual ETFs. But what we’re starting to see throughout the week is over here, you see that blue line crossing above the black line to start out the week. We can of course look towards those Vantage Point predicted highs and lows, and again you see as a sector, this really standing out as a level to say, “Okay, well that’s really where you want to go ahead and get involved,” whether it be the biotech ETF, whether it be other individual biotech names. And we’ve really seen an explosion here, as shares move higher, just the entire sector here up about four and a half percent via that ETF in just the past three trading days.
So aside from that, you know, we looked at Alliant Energy ($LNT), things like Duke Energy last week. Well, here’s Alliant Energy, another one of these utility stocks. So again, we’re looking at utilities, biotech stocks, typically not here, we’re going to look at Meta and then Microsoft in a bit here. But here you see with Alliant Energy, only getting these entries that say, “Okay, look down towards these Vantage Point predicted levels to accumulate a position.” Even this week, just over the past few trading days, you again, like those biotech stocks, this is where you’re seeing an acceleration in the marketplace. You’ve got a 2.8% rally just in the past three trading days on utility stocks, which is a pretty strong move there. And you see that overall forecast remaining quite bullish.
Lastly here, and this really getting to the heart of the matter, and what we’re seeing in the broader indices is that we’ve seen these Meta Platforms ($META) crossovers move to the bullish side on things like SPY and Q’s and especially the Russell. So even the smaller stocks are more poised to move higher again, also kind of explaining some of that biotech move. But here in Meta, so here you see this neural index or a predicted moving average crossing to the bearish side. Neural index very bearish, you get these blips coming into earnings here, but overall that trend remaining quite bearish. So you’re getting, again, short-term, that neural index getting bullish. We’re seeing a little bit of strength coming broadly through the market. But as a trader, well, you’ve seen that really since this trend got started to the downside, you’ve got shares of Meta off about 15%. So, when things turn around, certainly we can look towards, you know, Meta and even Microsoft to an extent here.
But right now, you know, a 15% decline. When we see that blue line cross above the black line, well, there’s likely going to be some better opportunities. And we can see how the overall space looks.
Here in Microsoft ($MSFT), a pretty similar example, and this is again highlighting that weakness in the broader indices.
So when we can identify where that’s really playing out, a lot of these names that had performed quite well, well then we can go in, either hedge our position, hedge some of these long positions in the market, or just again, just get out of the way. Right? So here we have Microsoft, this predicted high pretty much a gap up and immediately going lower. Look at all these levels, predicted high there, predicted high there. You get a gap up through this period here, you see a lot of froth around earnings. But again, that overall trend to the downside. So you want to get that bigger overall trend down, really understand, okay, what’s the bigger theme here and not really get caught up in the volatility of some of these markets when there’s, you know, again, clearly some easier places where we’re seeing that strength really align, at least to do some short-term trading, take some profits, and you know, keep churning it, moving forward, seeing how these predictive forecasts from Vantage Point keep updating, you know, where that strength is, and also where that weakness is in the marketplace.
So, we’ll go ahead and leave it there. Again, a really good opportunity to be quite careful out there, really have a strategy. We’re able to pick, you know, really the best markets, really identify where is that, you know, core fundamental strength, especially when you get into identifying some individual names that you might want to go ahead and speculate in. So, have a great rest of the week. Once again, this has been our Hot Stocks Outlook for May 3rd, 2024. Thanks again, and bye for now.
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