The Trade Ideas August 2020 report below comprises
- The Trade Ideas Trade of the Week for each week in August
- A summary showing the number of times that HOLLY traded in the industry and what was the profit or loss associated with those trades.
- About Trade Ideas.
Trade of the Week for August
Week 1
Xilinx XLNX | XLNX has a very clean pullback down to the 50-day sma. Ideally this will be the low risk, higher reward entry that we desire. It seems that many names on the daily charts have been breaking the fast 10 and even 20-day simple moving averages, only to collect buyers lower at a level like we see in XLNX.
Week 2
Vivent Solar, Inc VSLR | VSLR is ready for a short squeeze in our opinion. There are only 50 million shares in circulation for trading VSLR and 20% are held by short sellers. If VSLR decides to move higher out of this beautiful flagging pattern, then the remaining shorts may have to run for the hills to stop the pain and compete to buy this stock back along with others who want to go long.
Week 3
FireEye, Inc FEYE | For the first time ever, the Trade of the Week will have 2 triggers. Whichever price fires first is the official entry for this idea. We can either participate in a breakout or we can participate in a jam down to the 10-day simple moving average. We prefer the latter to get the best contrarian entry possible. But if the price breaks out, we want to participate in this setup with no fear of missing out.
Week 4
Lennar Corp LEN | Using the ‘Similar’ tab in the Trade Ideas single stock window, we can see a list of individual home builder names. To us, the daily chart of Lennar Corp (LEN) is a winning candidate. The flagging pattern and clean consolidation cannot be overlooked here.
Trade Ideas’ Machine Learning AI:
HOLLY, August 2020 Activity By Sector
Over the course of August 2020 HOLLY strategized a total of 244 trades for an aggregate profit of 3.02%. Overall, HOLLY’s performance in a high volatility and event driven environment.
The tables below detail the Top 5 and Bottom 5 Sectors and the performance in each. The full risk profit is the profit per share of the trade using no stops and holding until just before the market close. Enterprise licensees and subscribers recognize that their hold times vary beyond end of day according to their risk management preferences. The total performance of HOLLY AI for August was 6.38%.
HOLLY Performance by Sector for August 2020
Top 5 sectors by performance
Bottom 5 sectors by performance
Conclusion
Portfolio Managers and Traders who avail themselves of HOLLY gain the ability to increase performance and mitigate risk. HOLLY has no emotional response to market conditions. As has been true since HOLLY’s inception, August 2020 proved out this principle of HOLLY’s effectiveness.
About Trade Ideas
Trade Ideas is an artificial intelligence decision tool that enables portfolio managers and traders to make better decisions in the stock market.
Trade Ideas identifies opportunities to capture alpha before others and in sectors and places within the market where no one else is looking.
Overnight, Trade Ideas artificial intelligence capability, HOLLY, runs massive structured and unstructured data (market activity, news, social media, etc.) on all US equities across some 40 different trading strategies, each of which has multiple algorithms, effectively taking into account tens of millions of simulated trades.
The result is the reporting each trading day of 5-7 trading scenarios which may outperform the market. Risk guardrails are set against each strategy, so traders are alert when up or down limits are reached intraday.
Additionally, each week Trade Ideas publishes it’s free Trade of the Week. Visit the website to sign up:
https://www.trade-ideas.com
https://pro.trade-ideas.com
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.