Get started
Beta is not right indicator to pick high volatile stocksI have done extensive analysis on lot of stocks to see, which group of stocks gives more returns compared to market, index or any other household branded companies. Before i get into alternative to beta, here i will try to get into the details of beta calculation to understand ourselves why beta may not represent true nature or momentum of a stock. How is beta calculated? Beta is multiplication of two numbers, Correlation and volatility. If any one number out of these two are less, the result will be a low beta number. Correlation: If a stock moves in same +ve or -ve direction as that of market, it will have good correlation. On a given window of 48 prior days from now, how many days(or whatever timeframe) the stock matches up/down movement with respect to market, will give us correlation number. This value will be in the range +1 to -1. If price moves as per market direction, it will be 0 to +1. If price moves in opposite direction of market( that is stock goes up when market goes down or stock goes down when market goes up), the correlation will be 0 to -1. Usually in practice, all stocks are mostly positively correlate with market, so they end up having values between 0 and +1. This means, stocks with close to +1 correlation will have high beta and low correlation( say 0.5) will result in low beta. So correlation will play big role in beta value of a stock. However there will be few stocks, which doesn't move exactly as that of market but still are high volatile. I will explain volatility in short. If one is filtering stocks based on beta, they will loose out gains on these high volatile stocks. Instead of measuring an expected amount of return on a stock with respect to beta, we could simply use volatility to monitor a list of high volatile stocks to reap good returns over time. Volatility: If market moves +0.5%, say stock x moves 1%, conversely if market moves -0.5%, stock x moves -1%, it is safe to say stock x is high volatile. In statistics/math terms, how much the stock is deviating from its mean compared to market, gives a relative value of volatility with respect to market. Standard deviation of stock versus market gives the volatility of the stock. Higher the volatility, higher the gains or losses on the stock. Expecting returns on a stock based on the standard deviation is difficult. Instead, I will simply use a different calculation(explained below), that helps you easily see the expected returns in layman terms. Say, if you buy a stock at the lowest price on a specific month, and sell at highest price in that same month, the profit can be measured in percentage wise. That same number averaged over 12 months gives a rough idea of how much profit one can expect if timed properly every month. Selecting and timing on these high percentage profit returning stocks will amplify the returns over long time, compared to investing or trading in the low volatile stocks. The indicator(free) of mine sangana beta table will list the stocks sector wise, how much percentage a stock moves low to high in a month. It works for S&P500 and Nifty 500 stocks. Happy trading !!!
NASDAQ:TSLAEducation
by JKReddyLin
NVIDIA set to make one more higher high to $165?Technical Analysis: ================ A series of higher highs and higher lows in Weekly Timeframe: NVIDIA has found support at $132, which previously acted as a resistance area during June, July, and August 24. If the stock continues to rise from this level, we could see another higher high (yellow cap) around $165. Alternatively, a deeper correction toward $104 could still be on the table if the support fails. Fundamental Analysis: ================== 1) If NVIDIA struggles, it would suggest AI's momentum is waning—which is clearly not the case. This downtrend might simply reflect profit-taking by large traders. 2) The "Santa Rally" is in play, and NVIDIA appears to be on the "nice" list, signaling potential upward momentum. 3) NVIDIA's Blackwell product line is expected to contribute significantly to profits in the next quarterly earnings, potentially providing a substantial boost to the stock. I bought NVIDIA stock at $145 and plan to hold sell at $160.
NASDAQ:NVDALong
by spranav
1
Micron Technology - This Stock Will Double Soon!Micron Technology ( NASDAQ:MU ) is retesting massive support: Click chart above to see the detailed analysis👆🏻 After we saw a test of the resistance trendline on Micron Technology a couple of months ago, it was quite likely that we will eventually retest the previous all time high. This structure is now acting as massive support and together with the rising trendline, we will see a bullish rejection. Levels to watch: $90, $180 Keep your long term vision, Philip (BasicTrading)
NASDAQ:MULong
by basictradingtv
15
Quantum Corporation (QMCO) 🛠️ What they do: They focus on data storage and management solutions—a critical sector in tech. 📊 The chart: 15-min (left): Short-term bullish momentum, with support near $16-17 and potential to push higher. 1-week (right): Signs of reversal in the long term, but still high risk. ⚠️ Risk: Very volatile—manage your trades carefully. 💡 Outlook: Short-term potential looks positive, but price swings can be wild. Trade safe! 💬 Let me know your thoughts!
NASDAQ:QMCOLong
by Charts_M7M
1
NVDA Falling Wedge Pattern Setup: $127 SL - $153 TargetA falling wedge pattern has formed on NVDA's daily chart, with price action contained between two converging downward trendlines. The stock shows a potential bullish reversal setup after reaching recent highs around $145. Volume has been declining during the pattern formation, which is characteristic of a falling wedge. The setup offers a clear risk-reward with stop loss at $127 and target at $153, with entry planned on a break above the upper trendline.
NASDAQ:NVDALong
by sun_finance1
Micron (MU) is Heating Up! Breakout at $114.52 and Soar UP Key Levels to Watch: Breakout Level: $114.52 Retracement Target: $122 Major Resistance Levels: First Target: $140 Final Target: $170 What to Expect: If MU can break and close above $114.52, we could see a retracement to $122, creating a solid base for the next leg up. Once it clears $140, the path to $170 becomes much clearer. This level will be critical for the bulls, and if it’s breached, MU could be in for an exciting run! Kris/ Mindbloome Exchange Trade What You See
NASDAQ:MULong
by Mindbloome-Trading
JBLU: Anticipating a Pullback for a Strategic EntryI spend time researching and finding the best entries and setups, so make sure to boost and follow for more. JetBlue Airways Corporation ( NASDAQ:JBLU ): Anticipating a Pullback for a Strategic Entry Trade Setup: - Anticipated Entry Price: $5.27 - Stop-Loss: $3.72 - Take-Profit Targets: - TP1: $9.52 - TP2: $14.23 Company Overview: JetBlue Airways Corporation ( NASDAQ:JBLU ) continues to work toward recovery in a challenging airline market. While the stock is currently trading at $7.16, the anticipated pullback to $5.27 would provide an attractive entry point for traders seeking to capitalize on a recovery in passenger volumes and operational improvements. Earnings Reports: - Q3 2024 revenues came in at **$2.5 billion**, a **6.5% year-over-year increase**, supported by higher passenger demand. - Improved cost management resulted in **$185 million in net income**, reflecting significant progress compared to losses in previous periods. Valuation Metrics: - Price-to-Earnings (P/E) Ratio: **12.4**, highlighting potential undervaluation relative to peers. - Price-to-Book (P/B) Ratio: **0.8**, suggesting upside potential as the stock remains below its book value. Market News: - JetBlue is expanding international routes, aiming for higher revenue streams through underserved markets. - Continued cost-cutting measures and improved operational efficiency are likely to strengthen the company’s financial health over time. Technical Analysis (Daily Timeframe): - Current Price: $7.16 - Moving Averages: - 50-Day SMA: $6.50 - 200-Day SMA: $6.80 - Relative Strength Index (RSI): Currently at 65, signaling that the current rally could soon face resistance and lead to a pullback. - Support and Resistance Levels: - Immediate Support: $6.50 - Anticipated Support: $5.27 (entry target) - Resistance: $7.50 With NASDAQ:JBLU currently trading above $7.00, the RSI suggests overbought conditions, increasing the likelihood of a short-term pullback. The expected entry at $5.27 aligns with prior support levels, making it an ideal price for a recovery-focused setup. Risk Management: A stop-loss at $3.72 minimizes downside exposure, while take-profit targets at $9.52 and $14.23 offer significant upside potential of **80%** and **170%**, respectively, from the anticipated entry point. Key Takeaways: - Awaiting a pullback to $5.27 for an ideal entry point into NASDAQ:JBLU ’s recovery story. - Favorable risk-to-reward ratios make this a compelling opportunity for both swing and long-term investors. - Patience and strict adherence to the trade setup are essential for capturing this move. When the Market’s Call, We Stand Tall. Bull or Bear, We’ll Brave It All! *Disclaimer: This analysis is for informational purposes only and does not constitute financial advice. Traders should conduct their own due diligence before making investment decisions.*
NASDAQ:JBLULong
by SiriusTrading
Tesla is overhyped and over-extendedHistory repeats itself. Tesla is getting overhyped without clear tangible reason. Robotaxis? Sure, maybe they will be launched next year, but how will the car charge itself? A bunch of logistics and legislation are not yet in place. The Cyber-Truck was a bit of a failure. At least two Chinese EV's are not only catching up, but overpassing it (Nio, BYD). The new Tesla refreshed models are in a way a step-back. Disclosure: I do own a 2022 Tesla Model 3 Performance, but am a bit disappointed with the latest model refresh. Instead of giving people what they want, HUD/screen for the driver, they took out the stalks, and the parking sensors... great decision, now the car instead of showing me exactly the distance to an object, it continuously beeps for non-existent ones. Anyway, returning to the Tesla stock, with a P/E ratio of over 100, no way this will stay at such a value for long. One of the reasons it got so high, I suspect is due to it being somewhat over-shorted already. Still, what goes up, must come down (eventually). I'm predicting a more realistic 250-280 within the next 6 months (June 2025), a similar repeat of March/Aug 2022 when Tesla performed by far at their best (yellow/blue paths superimposed over the current stock price).
NASDAQ:TSLAShort
by TrinityAlex
76