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 APPLE ($AAPL), Amazon ($AMZN), American Axle and Manufacturing($AXL), NVIDIA ($NVDA), and Royal Caribbean Cruise Lines ($RCL)
Hello again, traders, and welcome back to the Hot Stocks Outlook for September 30, 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 a little bit of a review episode here, to really highlight how these tools are going to help you.
So we’ll start out here. We have shares of Apple, Amazon, Nvidia, a lot of the bigger stuff here. We also have American Axle & Manufacturing. And, lastly, we’ll go back to the cruise lines and really highlight how these tools can help traders understand, especially how to navigate a very volatile period like we’re seeing here now. And if you haven’t already, make sure you sign up for a live demonstration. Learn more specifics of how this tool can help you make better trading decisions, really, day in, and day out, regardless of markets your trading or really style here.
But let’s go ahead and we’re going to start out with shares of Apple. Really simple. And what we have with Apple here is daily price action. So each one of these candles is representing a full and complete trading day in the stock of Apple. Now what you’re seeing right up against all that price data, though, is you see a black line there and also a blue line. So the black line that you’re seeing on the chart there, that is a simple moving average. So that’s actually a very common technical indicator. In this case, it’ll be looking at the past 10 closed prices and divided by 10. So for our purposes here, that acts as a really good measure of where market prices have been over a given period of time. But, obviously, traders need to be ahead of the next move in the marketplace.
And so what we’re able to do is actually compare that black, or what you might call a lagging moving average, to this proprietary predicted moving average. And for that number to get calculated and plotted on the chart for the trader every evening, this is where the technology of artificial neural networks are coming into play. So rather than just having tools that look at past prices, and really get dragged around by what just occurred in the marketplace. What this technology is doing is looking at market relationships, so the data set it’s using to generate its forecast, is looking at markets that are known to drive and influence the target market here for Apple.
Now, when we look through this, we can actually look and see which markets are being used here. But this is going to be things like the big stuff, like the S&P 500, the Nasdaq. Also, important things like the dollar index, important commodities like crude oil or the gold market or global interest rates. But it’s even looking at individual relationships between individual stocks as well as ETF groups. And it’s taking this holistic view of what are all the factors and markets that are known to drive and influence this specific market that you are involved in. And so it takes all of that information and actually generates a forecast. And what happens is, we can actually use these predictive indicators to recognize these trend reversals as early as possible. So you see here, Apple, we get this crossover to the downside and suggests average prices are going to start moving lower.
Now, we can apply this technology, with the help of the scan, on all the stocks. So literally hundreds and hundreds of stocks to identify, hey, where’s the best opportunity to focus in on here? But if we want to trade shares of Apple, or thinking about the Nasdaq and the broader market, well, we can see here that, well, we’ve got a lot of weaknesses, that blue line crosses below the black line.
But let’s move on with some of these other indicators and you can learn how this, holistically, helps you understand and get the overall view of what this forecast is. You see that blue line crossing below the black line, but at the very bottom of the chart, you’ll see you have this bar. And it goes from green to red, back to green. And this gets updated, again, every evening at 6:00 PM. And it’s forecasting out actually 48 hours ahead. The indicator is tuned to do very short-term forecasts. So it’s not predicting the overall trend direction or average prices moving forward, it’s looking for short-term strength or weakness.
And in this way, this is how the trader can be prepared for things like this, where you see the neural index gets bullish. You see the subsequent 48 hours of strength, but that blue line is still below the black line, the trend is still down. And you can even see the trajectory going lower. These are all good signs that, look, the overall trend is still down. When we have that blue line above the black line, well, that’s a perfect time to buy. That’s great. But we’re not seeing that. And so we can actually move forward and say, okay, well, we have that neural index to help us with the short-term over these 48-hour periods, but we’re also provided a predicted high and predicted low, so intra-day levels generated via that technology. And it’s this, really, combination of these tools, along with your approaches and utilizing the scan and identifying, hey, what markets do I want to apply this technology to? But as we see here with shares of Apple, very common stock here, very popular stock, you get this information that says, all right, look towards these predicted highs to be a seller.
And we talk about this every week, really, how these predicted high levels, when you have an overall game plan of what you’re looking for in the market, you understand, look, the trend is down. You understand these levels often come into play, these previous predicted highs and lows. So you see here on this day, actually right here, you see, you’re getting a lot of volatility. And that tends to happen as the trend continues, and you get further away from where these things started, volatility picks up. But the trader needs to accommodate for that. And so we see we get this movement higher here to this predicted high. Neural index telling you that there’s bullishness over the next 48 hours, but the trend is still bearish. There’s no reason to be looking for long positions. And this is how traders can even come in intra-day, and use some momentum tools along with things like the predicted highs, to really know when to start expressing that trade.
And you see here, down at these predicted lows, good chance to cover. Again, previous predicted highs, predicted highs, but you do not want to be long here, as you see this really start to gap and accelerate. And when things reverse, well, great, you can use these tools to manage that. But clearly here, Apple is in a bearish way and has moved lower about 8% to 10% here, just over the past 12 trading days. So you need to accommodate for these things. And understand that, hey, over these past 12 trading days, it’s not hard to see what you might want to be doing as far as shorting the market, taking profits on shorts. And that’s how you’re going to be making money over this last period. That’s why the past couple of weeks in the Hot Stocks Outlooks that’s what we’re focusing on is bearishness. Talking about shorting stocks, not talking about getting along at all. And we’ll move forward to Royal Caribbean if you have questions there.
Here, shares of Amazon in a very similar situation. Now, we had that CPI report, and a lot of the market we’ll see here with Nvidia. And then some of these tech spaces looked pretty miserable. There’s overwhelming weakness. And we can see that more of the market has remained bearish, be it through the help of that Intela scan. But here you see shares of Amazon, very straightforward. Neural index, bearish. Cross over to the downside. Now, you see this neural index gets bullish here. And you get those subsequent higher highs over that 48-hour period. But for the past couple of weeks here, well, you’d want to be looking towards, hey, well, predicted highs and lows, what can I use here to take advantage of this market? So you actually see here, you get a gap down.
But even with those gaps in volatility, this is what’s so important to understand. So here’s a day where you get a lot of weakness here, and we gap entirely out of the range. Now, this doesn’t help you if you have a strategy to only be short and doing these sorts of things in alignment with the software. But what this technology is really excellent at is looking at those intermarket relationships, whatever they may be. It’s determined, actually, which ones are the significant ones to pay attention to. And then, even when you get that volatility, that big shift, it adapts. It not only looks at what happened in Amazon, it’s looking at what happened in those intermarkets. And it’s resetting the forecast for the next trading day so that trader can be prepared and say, “Okay, what do I need to do? Where do I need to focus? This predicted high. All right, this predicted high. Remain short, remain short. Use these levels.”
And in this way it can help those traders. Again, take some pieces out the market. You got to think about your timeframe and what overall strategy you’re going for. But if you’re a trend trader, well, let’s start that trend trading up at 128, 129 here on shorting Amazon. And, potentially, add to it as that trend continues. And you see 11% drop here in shares of Amazon.
Now, here is shares of Nvidia. And this is what we talked about as far as some of those markets turned higher during the CPI report, sure. But most of the market didn’t. And that’s the important thing of where the Intela scan feature, and these overall indicators, can help you understand just how weak this is. That we’re not actually seeing all these markets move to the upside. We have a huge volatility around that CPI report. And how would you want the portfolio to be skewed?
So here in Nvidia, we have this crossover to the downside. And this is where this weakness has just persisted. We saw this when Apple topped out. So Apple topped out up at 150 or so, and then started coming lower. And everything did. And that’s what you needed to recognize, that important shift. And to get some exposure to that at the right time. So you see Nvidia, and the broader tech space, everything starts to shift lower all the way back here. And then, if you’re trading or managing that, we’ve got neural index. You get that little hop higher, neural index bullish here. Little hop higher, neural index here. Little hop higher, little hop higher. But the bigger trend, clearly, to the downside.
And Nvidia, very exciting company, but it is not the stock. And the stock is down 30% over the past 28 trading days, just a couple hundred shares there, about $10,500. So whether you’re shorting the market and making 10 grand, or saving yourself 10 grand, by just taking some profit and waiting for these forecasts to go ahead and get bullish. That’s going to be an easier way to go ahead and manage especially this volatility here.
Now, here’s American Axle. And I just wanted to bring this through to highlight that, when you’re running these scans, you can see these markets that are not shifting bullish. And so in the tech space, you got a little bit more volatility. But the broader markets here, here’s AXL, cross over the downside, and same thing. These little blips where the neural index can get bullish. And as a trader, you need to deal with volatility. You need to know that some higher highs are coming through. What is your game plan here? Why are you in this trade? And what should your expectations be?
But that blue line remains below the black line, very solidly. Again, neural index gets bullish here. You get this sideways price action. But just a ton of weakness. And you even see through this volatile period here, lot of separation between that blue line and black line. And able to identify some areas in the marketplace where you say, “Okay, well, where do I want to look to take profits on shorts? Where’s that excessive weakness, as highlighted via the vantage point indicators?” And just over the past week here, so if you just look at these predicted high and low forecasts. So we have a bearish situation, the market’s moving lower. But do you want to be buying up at these levels? Well, no. And if you’re even going to consider buying, well, you’d have to look for areas where all of those tools and situations are bullish.
Now, I wanted to go ahead and bring in, actually, Royal Caribbean here. Because we got a lot of questions in the comment section about this because I highlighted this move on the way up. And what you need to understand is the context, is I’m highlighting that move on the way up, because nothing in the stock market is going up. We understand how bearish of a situation this is. And how you don’t want to be long at all. But despite that, if you were trying to short Royal Caribbean, the forecast would say, look, this is going up. We were seeing weakness for a month now, and excessive weakness for the past couple of weeks, but this is not where we want to see that weakness. And so, on the way up, it became clear that, look, there’s not a lot of places where the market is bullish. We’ve got things like, again, the Royal Caribbean and things, but then we get this crossover to the downside.
And so if you start the buying at the appropriate time and recognize that situation, well, you’ll also be able to recognize when things shift. So you have to imagine that if you were following a very simple set of rules that had you buying on the crossovers and using those tools to get long. Well, in the same way, you’d be recognizing this weakness and, potentially, shorting and making money on the bearish side. So you see that crossover to the downside, you see you get that gap down in the market. But, again, predicted highs and lows to help you out here. Look towards these levels. Look towards these move higher, but don’t get long. And so this is how this all works is, when you recognize these big shifts in the marketplace early, you really have the ability to manage those opportunities, trail your stops. And when it all starts reversing, well, that’s fine. You’ve got hedges on. You’ve got most of the portfolio skewed to the bearish side. And maybe a small amount of the portfolio bullish. But even then, it doesn’t make a lot of sense. The bigger moves are to the downside.
And that’s really what we see with the help of this Intela scan. So I can go ahead and open this up, and what we can see here is a lot of these features that allow you to scan via these predictive tools. So if you’re looking for fresh crossovers in the market, or markets that are already in trend, you can configure all of these predictive indicators exactly how you want them. To drill down on exactly the trade types that you are looking for. So again, jumping around a little bit, little bit of a review, highlighting some of these other features. But wanting traders to understand that there’s a whole lot of tools here that, day-to-day, as you’re managing that portfolio and setting up different trading opportunities, this is going to help you understand where to look. And where to focus on, really, the right opportunities, the strongest opportunities, and really manage those. So when you get those shifts in the marketplace, you recognize, hey, it’s time to pay attention. Time to look out. And time to make some money.
So have a great week. Once again, this has been our Hot Stocks Outlook for September 30th, 2022. Thank you all for watching. Best of luck and bye for now.