BP Stock Forecast: Algorithmic Perspective

BP Stock Forecast: Algorithmic Perspective

BP stock forecast: While algorithmic analysis is not to be considered conclusive, it can prove a useful tool when combined with traditional techniques.

I Know First uses an advanced self-learning algorithm based on artificial intelligence, machine learning, and artificial neural networks to predict the flow of money in almost 2000 markets from 3-days to a year. This algorithm provides traders with a trend they can use to identify when to enter and exit the market; though it may be used for intra-day trading, the predictability of this trend becomes stronger in 1-month3-month, and 1-year forecasts; as such, it can – when coupled with traditional analysis and careful reasoning – effectively be used to analyze the value of such stocks as BP. While I Know First’s algorithm should not be regarded as a stand-alone testament to BP’s value, the algorithm has seen an unusually high degree of accuracy, and as such is, at least, a useful complement to independent analysis.

The new BP stock forecast generated by the I Know First algorithm, updated on September 16th, is shown below (Figure 4). Bright green signifies a highly bullish signal; light green also indicates that the forecast is bullish, but not as strongly so. Bright red, in turn, signifies a bearish forecast; correspondingly, light red indicates a bearish forecast as well, but not as negative a forecast. Each compartment contains two numbers: the strength of the signal itself (represented by the number in the middle of each box, to the right), and itspredictability (found in the bottom left corner, this is the approximate level of confidence the algorithm has in the forecast). Taking all this into consideration, the ticker symbol for BP p.l.c. – “BP” – may be as bullish in the 1-month and 3-month time frames (Figure 3).

Figure 3. I Know First’s most recent 1-month and 3-month forecasts for BP p.l.c.. BP is boxed in blue, and shown to be bullish. Please note that a negative predictability indicates high risk.

This bullish forecast for the short term coincides well with recent developments in BP’s plans, its solid yield, and its increasing production and recovering margins. Given analysts’ mean “Buy” recommendation and BP’s activities in the last year, it may be wise to consider keeping BP in one’s portfolio, though it may sometimes be seen as risky given current circumstances.