Tag: Is stock market prediction possible

  • The Stock Market prediction Is Possible or Not?

    The Stock Market prediction Is Possible or Not?

    The Stock Market prediction Is Possible or Not?
    Everyone would like to know everything about this

    By Guy Avtalyon

    Stock market prediction is the intention since the beginning of the stock market. The reason is clear. Every single participant in the stock market aims to gain huge or decent returns and to avoid losses. Sounds logical, indeed. In early days traders and investors were just guessing, to say it simply. Well, frankly, not just guessing. There were some estimations, judgments, listening to the rumors, asking. But today, traders and investors may employ different tools, machine learnings, and AIs to help them in stock market predictions. 

    Is the stock market prediction possible or not? 

    We already learn that past performances can’t show future trends. But is this truth 100%?

    Of course not.

    Watching past performances can help you with a high level of certainty to predict how some stock will act in the future. This is very important because based on that data you will determine and decide what to do with some stocks. Would you buy or sell, would you stay on position or leave.

    The modern stock market prediction is often based on machine learnings and AI technologies varying from very simple to complex ones. Those stock market prediction tools or techniques, whatever would you like to call them may help you a lot to secure your investments. Even the simplest can give you an insight into the future stock market trends. 

    Using robust algorithms has benefits, of course. But not every trader or investor can afford them. Some are very expensive and the result is very often almost the same if you use the simple version or some simple tool.  

    The crucial thing about stock market prediction is to have quite enough historical data to be able to make a conclusion, to have a basic sense of some stock’s nature.

    How to predict the stock market movements?

    The relationship between supply and demand is what dictates the stock price. And this works very simply. If there is in the market more sellers, that means the supply is greater than demand, so the price will decrease. And vice versa. That is the easy part of the stock market. Things become more complicated when you try to understand why some investors like one stock more than the other. But that is another question. We want to know is the stock market prediction possible or not.

    The algos, tools, learning machines deliver their predictions based on historical data. This means that all of them show the prior values of some stock and based on that give the future estimation of stock price action. 

     

    And that is exactly what you need as an investor. To get some info with the highest level of possibility on how some stock will perform in the future. To have that kind of info you don’t need to spend a fortune. Some simple tools may benefit you too. Such a tool must have historical data about prior performances, for some limited time, for example during one year. Based on that info you will be able to check your trading or investing strategy. And that is crucial. The possibility to check your strategy on your own and not to put all in the “hands” of some algorithm, because we want to be honest with you, algos can make fails. Algos, as like your trading strategy, depends on inputs that some other implemented in it. To say simpler, it is based on other people’s knowledge about the stock market prediction and investor expectations.

    Le’s check one example. Let’s say you have a strategy and you want to check how it works on a particular stock.

    How efficient your strategy is?

    If it shows your strategy isn’t good you can easily change the strategy or test it on some other stock. Moreover, the possibility to test different strategies on numerous stocks is extremely important when it comes to choosing the stock to invest in or strategy to employ. What is the main point of trading? To gain a nice return. And how to provide that? You have to find the best possible to take a profit point and stop-loss point.  

    Based on the info you can obtain from such a tool you can easily decide about your future trading. 

    Very simple and very helpful, don’t you think? 

    What Traders-Paradise wants to say is just stay tuned.

  • Is it Possible to Predict Stock Market Movements?

    Is it Possible to Predict Stock Market Movements?

    Predict Stock Market Movements
    How is possible to predict stock market movements. Read to the end.

    By Guy Avtalyon

    Different gurus and many experts try to predict the stock market movements. Actually, they try to explain the stock markets by using many different theories. Sometimes, stock market predictions are more interesting than the last season of GoT which isn’t so hard, right?

    Even if you are not a trader and you never traded stocks, the possibility to predict stock market movements is exciting. Imagine that you can do so. How much it can be beneficial to your financial status?

    Real estate can be failed at its lows, money can be removed from mutual funds, anything can happen.

    What we have to do when the markets start to turn around? 

    Maybe to invest in gold, oil, some other tangible assets? To leave crypto? To sell stocks?

    Yes, when things rise to go bad, relocating money into tangible assets is a benefit. But is it possible to know the danger is ahead before it happens? How to successfully predict the stock market movements consistently over time?

    Do you know the maxim that “past performance cannot predict future success”? The paradox of that saying is that it will come up to you just after your broker tells you how great that investment was acting in the past. 

    Wink-wink, bro! At some point, the future can be similar to the past. Even the same.

    Stock markets go upward, stock markets go down

    Why do stock markets do that? Well, it is easy to explain. When more buyers than sellers are in the market, the prices will go up and vice versa. When more sellers than buyers are in the market the prices will go down.

    What provokes people to buy and sell? More often it is connected to the emotions than to logic. And here we come. The emotions are unpredictable. The stock markets are under the emotional influence, so they are unpredictable too.

    And you may think it’s useless to try to predict stock market movements. Or they are created to be unpredictable. It is a partial truth.

    We found this on investmentwarrior.com:

    “If today’s market is up…there is a 73% probability of tomorrow’s market is being as well, and a 27% probability that tomorrow’s market will close down. 

    If today’s market is down…there is a 62% probability that tomorrow’s market will also be down, and only a 38% probability that the market will close higher. 

    Historically the market has advanced on 58% of all market days, demonstrating its overall historic upward bias.”

    The future of the stocks in the market is a complex problem. Too many variables have to be calculated. Quantitative models, historical patterns, all failed. 

    The best prediction tools are our brains. It is a damn good forecast tool. But a human intellect cannot solve a mathematical equation so fast as a computer can. The human brain isn’t even close to the simple calculator. But the human brain developed powerful tools, machines, and algorithms. They can calculate very fast. Some of them will solve the most complicated formula in a sec. 

    Why predict stock market movements

    Predicting stock market movements is possible. It isn’t a waste of time.

    Experienced traders being a witness of a lot of market’s ups and downs, believe that the market will be equal, one day.  

    Let’s go back to the predicting tools.

    There is something called “algo trading”. With AI you practically can have the possibility to make a profit almost for sure. How successful will you be, depends on the inputs you add to algo. 

    Can you predict how the bulk of traders would respond to some events? It can indeed be completely unpredictable.

    Who want to predict stock market movements 

     

    They need to be sure they are investing in safe assets. Also, they have to know they will have fast and huge returns.

    Here we come to algorithms. How? The historical data are extremely important for trading and investing, for predicting the stock market movements. Are you ready to spend days, weeks, or months to gather valuable results? Why would you torture yourselves? Instead, you can use some good stock predicting tool, very fast and reliable to calculate the final result, to show you where to invest, when to enter, and when to exit the trade. 

    Traders-Paradise is preparing – Find the Best Exit Strategy Algorithm

    Traders-Paradise chooses to develop this tool because the exit strategy is maybe more important than anything in your trade. How is that? While you have many strategies and choices to enter the trade, the exit of trade can be done in only two ways: with lost or with profit.

    To know when to exit your trade you will need a lot of data. The tool like mentioned one is the easiest way to obtain them. Also, at the same time, similar tools are going to help you to predict the stock market movements. This tool will estimate how far the price will move and ensure that your profit potential exceeds your risk.  Without that data, it is impossible to predict when to exit the trade.

    Traders-Paradise is preparing something for you from that field. You will see it soon and you’ll be able to use it. It is very useful and impressive. But, the best news comes last. You have to wait for a while but stay tuned