Apple Stock Forecast: The Giant That Keeps on Growing (AAPL)

Apple Stock Forecast

I Know First supplies financial services, mainly through stock forecasts via their predictive algorithm. The algorithm incorporates a 15-year database, and utilizes it to predict the flow of money across 2000 markets. The self-learning algorithm uses artificial intelligence, predictive models based on artificial neural networks, and genetic algorithms to predict money movements within various markets.

The algorithm produces a forecast with a signal and a predictability indicator. The signal is the number in the middle of the box. The predictability is the number at the bottom of the box. At the top, a specific asset is identified. This format is consistent across all predictions. The middle number is indicative of strength and direction, not a price target. The bottom number, the predictability, signifies a confidence level.

I Know First has had success predicting the movement of Apple’s stock price in the past. In this one-year forecast from May 11th 2014, AAPL had a slightly bullish signal with a signal strength of 4.50 and a predictability indicator of 0.6. In accordance with the algorithm’s prediction, the stock price increased by 53.02% during that time as depicted in the diagram below.


(Figure 1: AAPL forecast May 11th ’14)

Having explained how I Know First’s algorithm works and providing an example of its success in the past, it is worthwhile to see if the algorithm agrees with the bullish fundamental analysis of the company. The three-month and one-year forecast for Apple Inc. is included.


(Figure 2: AAPL forecast 15th July’15)

The above forecast is the most-recent forecast from June 15th 2015 and is for the long-term periods of three months and one year. Both forecasts are moderately bullish with the three-month forecast having a signal strength of 16.88 and a predictability of 0.26. Likewise, the one-year forecast has a positive signal of 10.93 with a predictability indicator of 0.27. The algorithm thus correlates with the fundamental analysis which indicates that Apple’s next four quarters will be lucrative for AAPL share holders. The fact that they are rolling at least three new products in the upcoming new months was enough to convince analysts to upgrade their reconsiderations.

Positive signal strength does not mean investors should automatically buy the stock. Dr. Roitman, who created the algorithm, created rules for entry for a stocks like Apple Inc. Using this trading strategy, an investor should buy a stock if the last 5 signal strength’s average is positive and if the last closing price is above the 5-day moving average price. When both of these conditions are met, it is a good time to initiate a position in the stock.