R | Ryder Systems Trading Journal with VantagePoint

VantagePoint Trading Software is a forecasting tool that uses a combination of end-of-day data and artificial intelligence to provide traders a forecast of market movement 1-3 days in advance with the goal of helping them improve their timing on making trades and maximizing their profit potential. The artificial intelligence software forecasts market movement for stocks, futures, Forex and ETF markets. Following the description of how the software works is a recent trading journal on R.

The basic concepts operate using two indicators, a traditional simple moving average (SMA) displayed as a black line on the charts and VantagePoint’s patented predictive moving average (PMA) displayed as a blue line. This proprietary indicator uses artificial intelligence to analyze both the past price data of a given market and the 25-30 most influential markets and how they affect the price action of the market.

When the blue PMA line crosses the black SMA line to the upside, traders can interpret this as VantagePoint signaling a new uptrend, or bullish trend. Traders can expect the uptrend to continue if the blue line remains above the black line. The trend is over when a new crossover occurs and the blue line crosses the black line to the downside.

Conversely, if the blue PMA crosses the black SMA to the downside, VantagePoint is suggesting the start of a new bearish, or downtrend. Traders looking to short the market may find this instance as the best time to enter the market if they are looking to follow a downtrend.

A second key aspect of the VantagePoint Software is the neural index. Another patented indicator, this measures the anticipated market movement over the next 48 hours. If the software predicts the price to be higher over the next 48 hours, the green indicator line moves to the “one” position. If the prices are predicted to be lower, the indicator slides down to the “zero” position.

Using the neural index in conjunction with the crossovers on the chart allows traders to easily see when a new trend is starting and what to expect from a market in the coming days. This has the potential to greatly increase a trader’s profit potential by more clearly identifying trends and entry and exit points.

To demonstrate these concepts, we’ll use the recent market movements in Ryder Systems NYSE: R.

VantagePoint Trading Journal R

Ryder Systems has been in a persistent downtrend since the beginning of March 2017.  However, there was a major reversal signal from VantagePoint’s predicted moving average on May 24th. This is a signal for a potential new opportunity to get long the market.

R chart
VantagePoint signaled a new crossover for R on May 24th. This indicates the start of a new bullish trend and that traders may want to enter a new long position.

R came up through the evening scan of VantagePoint’s predicted crossovers on May 24th. Since the market had already made such a large run up on the 24th, we looked to enter the market at the May 25th predicted low value of $65.76 for a lower entry price for the initial position.

R chart entry level
We use VantagePoint’s predictive low levels to identify the best level for entry. On May 25th, that level was identified as $65.76. So we set that as our entry price for this position.

We can see the VantagePoint neural index reversed to the “zero” position on May 26th. This indicates VantagePoint predicts some short-term weakness in the next 48 hours. This is something to be wary about but also something that isn’t too shocking. The increased volatility can be expected after such a large run-up occurred earlier in the week. We chose to leave the order at the May 25th predicted low, entering Friday, May 26th trading. Our intent is to ride out the short-term volatility and reap the benefits of a continued bullish trend in the long-term.

We’ve placed our stops outside the May 24th range at the $63.33 level. We’ll look to adjust that depending on how the market moves in the coming days. The stop placement means our current Risk on 100 shares in a long position is $243.

We are expecting more choppiness in the early half of next week. However, the trend is still updue to the fact the blue PMA is still above the black SMA line.  We’ll adjust our order size based on the short term predicted high and low levels from VantagePoint. Stay tuned.

Below is a summary on the recent market movement of R as of May 25.

100 SHARES = $6,576

ENTRY Price on 5-25-17 = $65.76
Close price as of recent chart (5-26-17) = $65.81
Potential profit = $0.05 per share
Current Stop Loss = $63.33
This is $2.43 away from entry price and our current risk per share

UPDATE: 6/6/2017

After the  close on 6/6, VantagePoint forecasted some weakness in Ryder systems. The intraday entry got us a good short term entry, however, the market looks weak from this point. We’ve chosen to tighten stops to break even. Should the market shoot back up we still have a chance to remain in the market, but it is not worth letting the market push us down to a loss. That’s confirmed by the neural index sitting at a “zero” position. We can also see the predicted Range for June 7 moving lower, confirming weakness in Ryder.  We are likely to get stopped out, however, a move to upside from here is still possible.

The market has been unable to move higher. With the neural index sitting in a zero positoin we’ve moved our stop loss to break even in the event the bearish momentum continues.

Below is a summary on the recent market movement of R as of June 6.

100 SHARES = $6,576

ENTRY Price on 5-25-17 = $65.76
Close price as of recent chart (6-6-17) = $66.09
Potential profit = $0.33 per share
Current Stop Loss = $65.76
This is $0.00 away from entry price and our current risk per share.

UPDATE: 6/8/2017

The bearish momentum continued to push R down, hitting our stops at the break-even price of $65.76. While we didn’t make any money on this trade, VantagePoint was able to forecast the bearish move which allowed us to move our stops up. This meant we could walk away from this trade unscathed, instead of with a loss.

The bearish momentum couldn’t be overcome as the market stopped us out at our entry price. Luckily VantagePoint was able to forecast this for us and we walked away at break even.

Below is a summary on the recent market movement of R as of June 8.

100 SHARES = $6,576

ENTRY Price on 5-25-17 = $65.76
Stopped out = $65.76
Results: We walked away unscathed. No gains, but also no losses.

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