American Electric Stock Forecast - Daily Balance Of Power
| AEP Stock | USD 95.10 0.48 0.50% |
American Stock Forecast is based on your current time horizon. Although American Electric's naive historical forecasting may sometimes provide an important future outlook for the firm, we recommend always cross-verifying it against solid analysis of American Electric's systematic risk associated with finding meaningful patterns of American Electric fundamentals over time.
American |
Open Interest Against 2024-12-20 American Option Contracts
Although open interest is a measure utilized in the options markets, it could be used to forecast American Electric's spot prices because the number of available contracts in the market changes daily, and new contracts can be created or liquidated at will. Since open interest in American Electric's options reflects these daily shifts, investors could use the patterns of these changes to develop long and short-term trading strategies for American Electric stock based on available contracts left at the end of a trading day.
Please note that to derive more accurate forecasting about market movement from the current American Electric's open interest, investors have to compare it to American Electric's spot prices. As Ford's stock price increases, high open interest indicates that money is entering the market, and the market is strongly bullish. Conversely, if the price of American Electric is decreasing and there is high open interest, that is a sign that the bearish trend will continue, and investors may react by taking short positions in American. So, decreasing or low open interest during a bull market indicates that investors are becoming uncertain of the depth of the bullish trend, and a reversal in sentiment will likely follow.
| Previous Daily Balance Of Power | Daily Balance Of Power | Trend |
| 0.3289 | (0.81) |
| Check American Electric Volatility | Backtest American Electric | Trend Details |
American Electric Trading Date Momentum
| On October 30 2024 American Electric Power was traded for 96.46 at the closing time. Highest American Electric's price during the trading hours was 96.91 and the lowest price during the day was 95.76 . The net volume was 3.4 M. The overall trading history on the 30th of October contributed to the next trading period price gain. The overall trading delta to the next next day price was 0.01% . The overall trading delta to current price is 0.65% . |
Balance of Power indicator was created by Igor Livshin to predict asset short term price movements or warning signals. If Balance of Power indicator is trended towards the high of its range it will signify that the bulls are in control. On the other hand when the BOP indicator is moving towards the lows of its range it signifies that the bears are in control. If the indicator move from a high positive range to a lower positive range it signifies that the buying pressure is decreasing. Conversely, if the indicator move from a low negative range to a higher negative range it signifies that the selling pressure is decreasing.
| Compare American Electric to competition |
Other Forecasting Options for American Electric
For every potential investor in American, whether a beginner or expert, American Electric's price movement is the inherent factor that sparks whether it is viable to invest in it or hold it better. American Stock price charts are filled with many 'noises.' These noises can hugely alter the decision one can make regarding investing in American. Basic forecasting techniques help filter out the noise by identifying American Electric's price trends.American Electric Related Equities
One of the popular trading techniques among algorithmic traders is to use market-neutral strategies where every trade hedges away some risk. Because there are two separate transactions required, even if one position performs unexpectedly, the other equity can make up some of the losses. Below are some of the equities that can be combined with American Electric stock to make a market-neutral strategy. Peer analysis of American Electric could also be used in its relative valuation, which is a method of valuing American Electric by comparing valuation metrics with similar companies.
| Risk & Return | Correlation |
American Electric Power Technical and Predictive Analytics
The stock market is financially volatile. Despite the volatility, there exist limitless possibilities of gaining profits and building passive income portfolios. With the complexity of American Electric's price movements, a comprehensive understanding of forecasting methods that an investor can rely on to make the right move is invaluable. These methods predict trends that assist an investor in predicting the movement of American Electric's current price.| Cycle Indicators | ||
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| Volume Indicators |
American Electric Market Strength Events
Market strength indicators help investors to evaluate how American Electric stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading American Electric shares will generate the highest return on investment. By undertsting and applying American Electric stock market strength indicators, traders can identify American Electric Power entry and exit signals to maximize returns.
| Accumulation Distribution | 42586.44 | |||
| Daily Balance Of Power | (0.24) | |||
| Rate Of Daily Change | 0.99 | |||
| Day Median Price | 94.59 | |||
| Day Typical Price | 94.76 | |||
| Price Action Indicator | 0.27 | |||
| Period Momentum Indicator | (0.48) |
American Electric Risk Indicators
The analysis of American Electric's basic risk indicators is one of the essential steps in accurately forecasting its future price. The process involves identifying the amount of risk involved in American Electric's investment and either accepting that risk or mitigating it. Along with some essential techniques for forecasting american stock prices, we also provide a set of basic risk indicators that can assist in the individual investment decision or help in hedging the risk of your existing portfolios.
| Mean Deviation | 0.877 | |||
| Standard Deviation | 1.14 | |||
| Variance | 1.31 |
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential investments, we recommend comparing similar equities with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.
Pair Trading with American Electric
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if American Electric position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in American Electric will appreciate offsetting losses from the drop in the long position's value.Moving together with American Stock
| 0.74 | ED | Consolidated Edison Sell-off Trend | PairCorr |
| 0.86 | ES | Eversource Energy | PairCorr |
| 0.85 | FE | FirstEnergy | PairCorr |
Moving against American Stock
| 0.62 | ETR | Entergy | PairCorr |
| 0.55 | EDN | Empresa Distribuidora | PairCorr |
| 0.51 | AEE | Ameren Corp | PairCorr |
| 0.46 | CNP | CenterPoint Energy | PairCorr |
| 0.39 | ENIC | Enel Chile SA | PairCorr |
The ability to find closely correlated positions to American Electric could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace American Electric when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back American Electric - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling American Electric Power to buy it.
The correlation of American Electric is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as American Electric moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if American Electric Power moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for American Electric can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Additional Tools for American Stock Analysis
When running American Electric's price analysis, check to measure American Electric's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy American Electric is operating at the current time. Most of American Electric's value examination focuses on studying past and present price action to predict the probability of American Electric's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move American Electric's price. Additionally, you may evaluate how the addition of American Electric to your portfolios can decrease your overall portfolio volatility.