IFX International

On May 22-24, 2018,  Trading Central exhibited at the annual IFX International Expo in Limassol, Cyprus. At the event, the TC team was excited to introduce their new wave of improvements made to our award-winning product suite and demo how our mobile solutions are enabling more of today's investors to take control of their portfolios.

To learn more about speakers, agenda, insights and more upcoming events, please visit the IFX Expo event website: 

https://www.ifxexpo.com/

 

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Integrated Device Technology charging up

 Interactive Brokers, Traders’ Insight

By Gary Christie

Thursday, June 1, 2018

In Trader’s Insight, Gary Christie uses Technical Insight to evaluate investment opportunities in the technology sector after a recent month of recovery. 

The technology sector is making a comeback this month with an average return of 3.5%. This makes it the top sector of the month and where we look for opportunity to ride the trend. Using Trading Central’s technical event screener, I searched for stocks in the technology sector with a focus on semiconductors and bullish classic technical analysis patterns and received a top hit for Integrated Device Technology Inc. (IDTI). Let’s have a deeper look at the stock to see why it is an interesting technical bullish setup.

Moving Average Convergence/Divergence (MACD): (Short-Term) Plots the difference between a shorter-term (12-bar) and a longer-term (26-bar) exponential moving average (EMA). Bullish and bearish events are generated respectively as the MACD fluctuates above and below zero to indicate whether prices in the shorter term are stronger or weaker than the longer term average.

A 9-period EMA of the MACD is overlayed as a "signal line" which smooths out the MACD to provide a clearer view of whether it's moving upward or downward. A bullish event is generated when the MACD crosses above the signal line, showing that the current MACD is actually higher than its average, a sign of increasing strength for the price.

An Upside Breakout is taking place: (Long-Term) Prices broke upward out of a trading range suggesting we're entering a new uptrend.

The Upside Breakout pattern represents a trading range in which prices move sideways between two parallel horizontal lines. It's often a pause or congestion area within an existing trend though sometimes the breakout results in a reversal to the prior trend. Either way, an upside breakout through the upper resistance line signals an end to the consolidation period and the start of an uptrend.

Want to learn more about Technical Insight? 

 

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Technical Insight wins "Best Specialist Product"

The Technical Analyst Awards 2018, London

Thursday, May 24th, 2018

Every year The Technical Analyst recognizes the very best in technical analysis and trading software and this year, that included Technical Insight.

THE TECHNICAL ANALYST AWARDS 2018
THE TECHNICAL ANALYST AWARDS 2018

On May 24th, Trading Central attended The Technical Analyst Awards Ceremony in London after being selected as a finalist in six categories including "Best Independent Research House for Multi-Asset Research" and "Best Specialist Product". For more information on the research that caught the attention of this year's judges, please view Trading Central's online award submission.

Surrounded by other industry leaders, CEO Alain Pellier was present to receive the award for 2018's "Best Specialist Product". "At Trading Central, we're proud to offer analytics that enable investors to enjoy running their own portfolios and we're thrilled to be recognized within the industry for this initiative," said Trading Central CEO, Alain Pellier.

This award follows the recent wave of improvements to the flagship product which has been trusted by leading online investment platforms since 2001. These updates focused on providing responsive experiences, advanced filtering capabilities, modernized charting and idea generation fueled by popular sentiment. Collectively, these features enable investors to find new trade opportunities based on "what's trending" in their regions, to learn what different patterns mean for a stock price, the ability to find suitable investment candidates and to stay continually informed on market movement... even on the go!

Read the Technical Analyst press release for more details!

 

 

 

 

 

 

 

 

 

Learn why investors are loving Technical Insight: 

Learn more about our award-winning product here!


U.S.- listed small caps poised to outperform

The Globe and Mail, Number Cruncher

By Peter Ashton

Friday, May 25th, 2018

In The Globe and Mail, Peter Ashton uses Strategy Builder to find U.S.-listed small caps poised to outperform large-cap rivals.

What are we looking for?

U.S.-listed small-cap stocks that look poised to outperform their large-cap cousins. In the past few weeks, U.S. stocks have resumed their rally, edging up off their lows set in early April. Over the past quarter, small-cap stocks, represented by the Russell 2000 Index, have dramatically outperformed their larger-cap rivals in the S&P 500. While the S&P 500 is down 0.5 percent in the past quarter, the Russell 2000 is up by 4.4 percent, with 4.2 percent of that coming in the past month. As the U.S. economy continues its expansion, small-cap stocks are expect-ed to continue this recent out-performance.ed.

 

The Screen

We will be using Trading Central Strategy Builder to search for U.S.-listed small-cap stocks with strong revenue growth and operating margins along with reasonable valuations.

We will screen for U.S. stocks with a market capitalization between US$1-billion and US$4-bil-lion. For comparison, the Russell 2000 constituents have a weighted average market cap of US$2.4-billion. To ensure we consider only well-valued candidates, we will filter to include only companies with forward price-to-earnings ratios of 25 or less.

To focus in on stocks that have demonstrated strong revenue growth and profitable operations, we will select only stocks with revenue growth (last quarter compared with prior year) of 15 percent or more and operating margins (trailing 12 months) also of 15 percent or more. Last, to further extend the theme of selecting small-cap outperform-ers, we will consider only stocks rated “strong buy” by a consensus of industry analysts, according to Morningstar data.

 

What did we find?

Ranking near the top is FTS International Inc., a Fort Worth, Tex.-based oil-services company. FTS has the highest quarterly revenue growth on our list at 119 percent and the lowest forward P/E ratio at 4.5. The company’s stock price has appreciated significantly over the past month –more than 10.7 percent – on the back of strong revenue and a surge in oil prices.

The largest company on our list is Canadian miner Kirkland Lake Gold Ltd., with a market capitalization of US$4-billion –the very top end of our screening range. The company’s stock is up 17 percent in the past month on the back of strong quarterly results announced on May 2.

Trading Central Strategy Builder provides a back-testing capability to evaluate how well an investing strategy would have worked in the past. Using a five-year historical period with quarterly rebalancing, the screen described had a 25.4-percent annualized return compared with 10.5 percent for the S&P 500 and 10.6 percent for the Russell 2000 Index.

 

The investment ideas presented here are for information only. They do not constitute advice or a recommendation by Trading Central in respect of the investment in financial instruments. Investors should conduct further research before investing.

 

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Getting Technical with TC- May 2018

Learn from our award-winning research team...

In just 20 minutes, our monthly analyst webinars help you stay informed with our global macro overview and learn to properly validate investment opportunities with the principles of technical analysis.

What's new this month?

This month we're focusing on the S&P 500, Ftse Mib, Currencies (EUR/USD, GBP/USD, USD/JPY) and Commodities (Crude oil, gold).

Who are our experts?

Our Global Research Team comprises of Senior Technical Analysts with STA, MsTA or CMT qualifications. Located in Ottawa, Paris, and Hong Kong, they’re able to provide around-the-clock coverage of equities, FX, commodities and indices, and publish hundreds of analyses every market day! This award-winning team of independent advisers help a broad swath of investors with services such as custom-watchlist reporting, directional opinions, multi-factor trade recommendations and entry/exit timing. Learn more about our research team and award-winning methodologies on our research page.

Markets Never Sleep®, and with offices around the world, Trading Central is always there to support your investment decisions with actionable research in the moments that matter.

 

Or watch from our Youtube channel: https://youtu.be/Y-0NRaoGmyA


We've updated our Privacy Policy

Here at Trading Central, we keep a positive customer experience at the core of everything we do. That's why we've updated our Privacy Policy to clearly communicate how we're collecting, using and protecting your data. 

These changes were made to reflect the requirements set out in the General Data Protection Regulation (GDPR) which takes effect on May 25th, 2018. We encourage you to read our updated Privacy Policy at any time. Please feel free to reach a member of our Customer Success department  should you have any questions.


Seeking value in a beaten-down consumer-staples sector

The Globe and Mail, Number Cruncher

By Peter Ashton

Friday, May 11th 2018

In The Globe and Mail, Peter Ashton uses Strategy Builder to find U.S. consumer-staple stocks with attractive valuations and earnings growth. 

What are we looking for?

The U.S. consumer-staples sector has been the worst performing sector so far in 2018. The SPDR Consumer Staples ETF (XLP) is currently off by 13 percent year-to-date and is on track for its worst annual performance since a 17-percent decline in 2008. The sector hit a record intraday high on Jan. 29 and has declined more than 15 percent since despite very good earnings by some of the sector’s biggest names. Investors with an inclination toward value stocks would find this sector ripe with opportunity today.

 

The Screen

We will be using Strategy Builder to search for U.S. consumer-staples stocks that have reasonable valuations and strong quarterly earnings results yet have seen their stock-price slide over the past quarter. We begin by setting a minimum market cap threshold of US$5-billion. This will focus our search on large-capU.S. consumer staples stocks whose revenue streams tend to be more predictable than their smaller-cap cousins. We will also limit our search to stocks displaying trailing price-to-earnings ratios of 20 or less.

To select stocks with strong quarterly earnings growth, we will select only stocks with earnings growth (last quarter versus prior year) of 10 percent or greater. Finally, we will limit our search to stocks whose prices have fallen off at least 5 percent in the preceding 13 weeks.

What did we find?

Topping our list is Campbell Soup Co., which reported very strong second-quarter earnings on Feb. 16, beating analyst expectations by a wide margin. In spite of these strong earnings, the stock has lost more than 10 per cent of its value since mid-February. As with much of the sector, concerns over inflation and rising input costs have contributed to concerns about the company’s earnings outlook.

General Mills Inc., the U.S. packaged-food giant, delivers many well-known brands. On March 21, the company released third-quarter earnings that met expectations but were up sharply from the prior year. In spite of this growth, the stock fell 10 percent as the company guided full-year earnings below analysts’ estimates. The company’s stock is now trading almost 30 percent off its 52-week high, set in January. General Mills also has the highest dividend yield on our list at 4.4 percent.

One of the lowest P/E ratios on our list belongs to poultry producer Pilgrim’s Pride Corp. at just 7.6. The company’s stock has slumped 17.2 percent in the past quarter, due mainly to concerns about increased tariffs on agricultural exports to China and other markets. Aside from this short-term concern, the company has an excellent track record of delivering revenue and earnings with a long-term earnings growth rate of 10 percent.

The investment ideas presented here are for information only. They do not constitute advice or a recommendation by Trading Central in respect of the investment in financial instruments. Investors should conduct further research before investing.

The investment ideas presented here are for information only. They do not constitute advice or a recommendation by Trading Central in respect of the investment in financial instruments. Investors should conduct further research before investing.

 

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Bullish signals from U.S. housing industry

The Globe and Mail, Number Cruncher

By Peter Ashton

Friday, April 27th 2018

In The Globe and Mail, Peter Ashton uses Strategy Builder to find U.S. home-builder stocks with at-tractive valuations and return on equity. 

What are we looking for?

U.S. home-builder stocks with attractive valuations and return on equity. According to data from Red-fin, a U.S. real estate brokerage, the median price of U.S. homes soared by 8.9 percent in March compared with the prior year –the biggest annual increase in four years. Meanwhile, the supply of homes was down 11.9 percent compared with a year ago. Rising prices and low inventory are bullish for the shares of U.S. homebuilders, an industry that has struggled so far this year with the SPDR S&P Homebuilders ETF (XHB-NYSE) down more than 11 percent year-to-date.

 

The Screen

We will be using Strategy Builder to search for U.S. home-builder stocks that have reasonable valuations combined with a strong return on equity and low debt levels. We begin by setting a minimum market cap threshold of US$5-billion. This will focus our search on large-capitalization U.S. home-builder stocks whose revenue streams tend to be more predictable than their smaller-cap cousins. We will also limit our search to stocks displaying trailing price-to-earnings ratios of 25 or less. To select stocks with a strong return on equity, we screen for ROE ratios of 10 percent or more. Only about 25 percent of U.S. stocks have ROE levels in this range. Finally, to focus on companies with low levels of debt in this rising interest-rate environment, we will also filter to include only companies with debt-to-equity ratios of one or less.

What did we find?

After putting in a remarkable performance in 2017, D.R. Horton Inc. has struggled in 2018 and is down about 12 percent year-to-date. The company has a very good return on equity of 14.3 percent and a reasonable valuation with a P/E ratio of 16.8.

Miami-based Lennar Corp. is the largest homebuilder in the United States by market cap. The company operates in 17 states and made a new 52-week high on Jan. 22. Since then, fears of rising interest rates have suppressed the stock price, which is down 16 percent year-to-date.

Toll Brothers Inc. is interesting because of its focus on the U.S. luxury home market. It is the smallest company on our list with a market cap of US$6.2-bil-lion and also has the lowest P/E ratio at 11.7. On Feb. 27, the company announced fourth-quarter earnings that beat analyst estimates for earnings by a wide margin.

Trading Central Strategy Builder provides a back-testing capability to evaluate how well an investing strategy would have worked in the past. Using a five-year historical period with quarterly rebalancing, the screen described had a 15.7-percent annualized return compared with 11 percent for the S&P 500 index. The investment ideas presented here are for information only. They do not constitute advice or a recommendation by Trading Central in respect of the investment in financial instruments. Investors should conduct further research before investing.

The investment ideas presented here are for information only. They do not constitute advice or a recommendation by Trading Central in respect of the investment in financial instruments. Investors should conduct further research before investing.

 

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Banking on a Diamond-Capital Federal Financial

 Interactive Brokers, Traders’ Insight

By Gary Christie

Thursday, April 26, 2018

In Trader’s Insight, Gary Christie uses Technical Insight to evaluate investment opportunities in the financial sector. 

Volatility is back in the markets which has made investing in the equity markets challenging this year. As the S&P 500 looks down at its 200-day moving average for some support, where can we find opportunities to invest inside this correction? The Financial sector has remained relatively stable with some signs of a rebound to the upside in the horizon.

Recognia’s technical event screener has identified a bullish reversal pattern in Capitol Federal Financial (CFFN).          

A Diamond Bottom pattern has been confirmed: Prices seem to have reached a bottom, showing signs of a reversal, as it has broken upward after a period of uncertainty or consolidation.

The Diamond Bottom pattern begins during a downtrend as prices create higher highs and lower lows in a broadening pattern. Then the trading range gradually narrows after the highs peak, and the lows start trending upward. When the price breaks upward out of the diamonds boundary lines, it marks a significant reversal to a new uptrend.

 

Prices have also crossed above the 50-day moving average, indicating upside momentum.

Finally, the Commodity Channel Index (CCI) is bullish after having broken above its 100 level, indicating further upside momentum. The CCI measures the deviation of the price from its average value (compared to a chosen moving average, typically 20 bars). The oscillator is normalized by dividing by the typical deviation, so we get an oscillator fluctuating roughly between +100 and -100. Many traders use these as overbought (+100/oversold) (-100) markers and watch for signs of reversal, but original use was to consider long positions when CCI is above +100 (bullish event), and short when below -100 (bearish event). When the price crosses back in between +100 and -100, another event is triggered to indicate an end to the prior bullish or bearish situation, and a possible opportunity to close out such a position.

Want to learn more about Technical Insight? 

 

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Trading Central at Women's Wealth Forum

Trading Central's global head of UX, Kathryn St. John, was invited to participate in a panel discussion at the inaugural Women's Wealth Forum hosted by Benzinga in Boston on March 21, 2018.

The Women’s Wealth Forum is a space where female founders and executives are honoured and can offer mentorship to the next generation of fintech innovators. Key firms in attendance included TastyTrade, Fidelity, Schwab, Trading Central (Recognia), Wealthfront, Stash Invest, Tradeit, Acorns, and more.

In her panel discussion, Kathryn drew upon her experiences from startup days programming at Recognia through customer growth, to Trading Central acquisition and expansion into global business. Tune in through the video and article links below as Kathryn St. John shares the keys to accelerating growth: the owner’s mindset, customer obsession and sense of insurgency that is hard earned through a successful startup experience and that continues to drive Trading Central's trusted service to customers today.

 

Watch the Full Panel Discussion:

Finance Leaders Talk About The Glass Ceiling At Benzinga's Women's Wealth Forum

https://www.benzinga.com/general/psychology/18/03/11400014/finance-leaders-talk-about-the-glass-ceiling-at-benzingas-womens-w

“The owner mindset that comes from working at a small company has been instrumental to my professional success,” Kathryn St. John, senior director of user experience at Recognia, said on a panel.

 

Women In The Workforce Talk Gender-Based Challenges, Advantages

https://www.benzinga.com/general/movers-shakers/18/03/11409954/women-in-the-workforce-talk-gender-based-challenges-advantages

Kathryn St. John, senior director of user experience at Recognia, said the struggles unique to mothers (as with fathers, or people taking care or elders, or those that otherwise have outside responsibilities) challenged her to become sharper and more deliberate with her time and productivity.

 

A How-To Guide To Growing Women-Led Startups

https://www.benzinga.com/fintech/18/03/11412941/a-how-to-guide-to-growing-women-led-startups

“Certainly sometimes when you’re designing a product, you have this grand vision, and at the end of the day, if you’re too focused on perfection — and I won’t dismiss high standards, that’s fair, consumers expect amazingness — you have to go to market,” Kathryn St. John, senior director of user experience at Recognia, said.

 

4 Ways These Women Hustled To Reach The Top Of Their Business

https://www.benzinga.com/general/entrepreneurship/18/03/11411107/4-ways-these-women-hustled-to-reach-the-top-of-their-busines

Kathryn St. John, senior director of user experience at Recognia, attributes success to continued growth and relentless pursuit of improvement. “Be careful that it’s not about what you learned in the past or what you’ve given in the past,” St. John said. “It’s what you’re giving today, what you’re learning today.”

 

 

 

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