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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 CME ($CME), SPY ETF ($SPY), TESLA ($TSLA), BlackRock ($BLK), Netflix ($NFLX) and Cincinnati Financial ($CINF)
SPY ETF ($SPY)
Hello again traders and welcome back to the Hot Stocks Outlook for March 10th, 2023. Hope y’all are having a excellent week out there in the financial markets, and there was always plenty to cover here in today’s outlook. But before we go ahead and jump into things, really exciting week to cover here, but let’s take a look at the broader markets with the SPY, essentially the S&P500, we can see over the past rolling 12 month period, things are off about 8%. Past six months, you’re off a little under five and things have not improved over the past quarter and certainly not over the past week. But how can traders get ahead of this weakness, not only not experience the pain as shares go down, but actually make some money?
Let’s go ahead and take a look at some of these individual opportunities and see how you can get a sense of the broader market and what’s been going on here.
So we’ll start out, we got CME here and what we have is daily price action. So each one of these candles represents a full and complete trading day. So you see we’re going back a couple of weeks here. What you have against that price action, you’ll see that there’s a black line and also a blue line. So the black line value that you’re seeing there, that is a simple moving average. So that’s a very common technical indicator in this case, it looks back over the previous 10 closes. It’ll add those all together, divide by 10, and what that does is it smooths out the existing price action for traders, right? It lets you know where the market price has been, but it also highlights a lot of the weakness with traditional technical analysis and that it’s all just really reconfiguring data and price information from the past.
So it really is summarize what’s already occurred and what traders need to do is anticipate the next move in the market, understand when that weakness is coming in or that broad-based strength is shifting things. And so what we see here with CME is that daily price action, and you’ll see that that blue line has crossed below that black line value early on the chart here. And so what that blue line is doing is actually utilizing the technology found within VantagePoint, the neural networks, and what they’re doing is performing what’s called intermarket analysis to generate highly accurate price predictions. And so for the case of CME, the future price of CME will be affected by things like the broader markets like the S&P 500, certain ETF groups, but it also shares some very important market relationships with individual stocks on the exchange, potentially big things like the dollar index and global interest rates, as well as individual commodities down at things like wheat and sugar, gold, oil prices.
And so that’s what the software is able to do is take in all that information and use that data, this is what artificial intelligence is good at, taking huge amounts of relevant data and then generating highly accurate price predictions. And so what VantagePoint does with that information is use it to make price predictions of where future price is headed. And it’s those price predictions that are used and factored in to construct these indicators. So rather than having a tool that just gets dragged around by past prices and really just summarizes what’s already occurred, what you have is a forward-looking predictive tool with a very high level of accuracy. And when it comes to this blue line and black line, what it’s doing is helping us see the overall trend in the market.
So what happens is when it’s forecasting that future price, you can think of it as it’s skewing these indicators, in this case more bearish, to let you know that that weakness is coming in. And this is extremely effective when we apply this across the broader markets with the help of tools like the Intelliscan so we can actually see these fresh signals right as they come through. Now, to help you out with these other indicators, you see at the bottom of the chart you have this bar that goes from green to red, back to green, this is also derived via that neural network process, but tuned to solve a different problem for the trader and this problem being a very short term forecast of strength or weakness over the next 48 hours.
And this indicator has an extremely high level of accuracy. Over 80 plus percent accurate across a very wide range of markets. And we can see that when we get that overall signal of trend direction, the overall trend is down. That neural index will get bullish. You may have some subsequent higher highs over the next 48 hours of price action, but as that neural index turns bullish and you see that the blue line never crossed above the black line, and so we’ve got seen this decline, but it’s not just here in CME, you’ve seen that there’s not a lot of bullish crossovers spread out throughout the marketplace here. So we’ve got shares off about 5%, not a huge move, but a good example of highlighting how these tools collectively work together. Yes, some short-term strength will come in, but the overall trend is down.
And that’s what these tools are doing is skewing to the bearish side to warn you of that weakness coming in. Now each week we also take a look at these predicted highs and predicted low levels. And this is where things get really exciting because you’re also provided an intraday level before every trading day occurs. So this predicted high right there is known at 6:00 PM the night before that trading day even opens. So the market’s opening down here, it shoots up to fill you, the next day it says, okay, expect the high to go up to this trading day, but the overall trend is still down. And while you may experience some of those higher highs and sideways price action over the next 48 hours, the bigger trend is to the downside. And so we’ve just seen so many markets essentially skew to the downside with these predictive forecasts, and that’s where things like the VantagePoint Intelliscan can be extremely helpful.
So in this case, you see what I’ve done here. I know this is very new to you, but here’s the S&P 500 stocks, and we can just see how many of these stocks are currently showing that predicted moving average in a downtrend. And it’s just these simple things can be very helpful to leverage the technology and get a sense of the bigger picture out there. So let’s move on.
We’ve got shares of Cincinnati Financial and a lot of things going on throughout the financial space, but we keep coming back to, we highlighted a lot of the strength earlier on in the year. Amazon, Disney, Tesla, very straightforward, and you can see it here on this chart that blue line crosses above the black line, very nice move, here’s earnings in here with a lot of volatility coming in. But notice that the market’s running sideways, neural index still letting you know, okay, everything’s right. And then, boom.
That’s where you want to understand that hey, there’s been an important shift in the market. Now you should look to potentially short the market, take profits on short, certainly take profit off of those longs from January. And we can take a look again at these predicted highs and lows and understand again, if we want to look on the way up, excellent entries. Actually here you get a little bit of volatility off of that earnings release, but look how well the software does at picking out all of these intraday levels to help you make trading decisions. But when that shift comes in, you want to recognize it and then reverse the behavior and make money on the bearish side, or at least set up the portfolio so that it will benefit off of some market weakness here. So we’ve seen shares of Cincinnati Financial off, and really what I want to highlight here is we didn’t see a lot of strength coming in throughout the mid-part of this week.
So you see how this is actually Tuesday right there. So now we’re Wednesday, Thursday, and this is Friday for this as far as the forecast goes. But Wednesday, the D&P still trade above 4,000. And you’re seeing so much weakness throughout the financial space, throughout many of these shares. Again, it makes it a really hard case to see that strength coming in. And here we go, look at BlackRock here. Crossover to the downside neural index bearish and again, let’s take a look at how accurate these forecasts are. Little blip from higher highs over the subsequent 48 hours of price action, little bit of sideways, little bit up over 48 hours. But does the blue line ever get above the black line? No. And again, this is Monday, that’s Tuesday. And very clear that is this a market you want to be long in going into this week?
And so we’ve seen some weakness, we’re seeing volatility pick up, but this is why over the past several weeks we’ve been highlighting all of the bearish forecast because you want to have some things in the portfolio that will benefit from this. So here you see BlackRock off about 13% in the past 23 trading days. Not a great sign for the broader market.
Now here’s a Tesla, and we’ve been going through this for now about six months, highlighting Tesla on the downside before this big rally highlighting this crossover to the upside and the subsequent predicted lows that are hit before this huge rally. And also highlighting this shift to the downside.
So again, seeing these sorts of signals in Cincinnati, BlackRock, running your Intelliscan and seeing how many of these markets have shifted and which markets have shifted, again, make it pretty clear, so should you be buying or should you be selling?
Here we can see that the blue line below the black line, neural index has been bearish all week and we’ve seen a reduction in prices. What’s so really interesting about this is even when you get this chop in the sideways price action, notice how that blue line, that predicted moving average, skews to the bearish side and it holds. It never gets bullish here. It skews again, stays bearish, and now everything’s starting to slip and move lower. But your entries were down here at 110, right? So buying up here, selling up here, and again, getting in line with the bigger picture of things and making sure that you’re noticing these bigger, more important shifts in the market, certainly in markets that you might be trading. So here again, shares of Tesla already off here, about 16% after that, almost doubling thereof the share price.
So you want to be aware of this stuff, navigate it, take your profits, move aside and wait for better days. Here’s Netflix. We keep coming back to this. And again, this is something we highlighted early as far as some weakness coming in, neural index letting you know that things are sideways, but then cracks in the dam start to show and things accelerate to the downside. So we can update these Netflix forecasts. Even from last week, predicted highs and lows, letting you know that up here at these levels, you would not want to be a buyer and you would therefore want to short take profits on shorts. And when you’re seeing these sorts of signals in Netflix, Tesla, the things that were leading the market higher, we saw Amazon and Disney, they gave up the ghost a long, long time ago and never pivoted back to the bullish side.
So again, it’s just utilizing the tool, it makes it barely straightforward, but you want to lean on a tool that’s going to be consistently accurate at the output that it’s providing you so you can really link that with your trading style, your approach, and make the most of these trading opportunities and actually adapt to the situation, understanding, hey, should I maintain that position? Should I potentially add to it? Or do I need to just get out of the way, take profits, maybe minimize losses, and do what you need to do as a trader to really make this all work. So once again, this has been the Hot Stocks Outlook for March 10th, 2023. Thank you all for watching. Best of luck out there and bye for now.
