I Know First Review Weekly Algorithmic Performance: May 14, 2017

I Know First Review

On May 14, 2017, our weekly newsletter was sent out to all I Know First subscribers, which can be found here. Below, you may find the I Know First Review, highlighting the algorithm’s performance for this past week.

I Know First sends a weekly newsletter every Sunday to all the I Know First subscribers, highlighting the past week’s performance in all the covered financial markets, i.e. equity positions, currencies, and commodities. Additionally, the weekly newsletter includes analysis and updated news reports regarding prominent firms such as Apple, Yahoo, Baidu, and more which our subscribers are able to utilize for their investment strategies. The in-depth analysis is provided by the I Know First financial analysts, who are often times also top rated authors for prominent financial sites such as Seeking Alpha.

In general, the algorithm is based on Artificial Intelligence and Machine Learning with elements of Artificial Neural Networks and Genetic Algorithms incorporated in it. This means the algorithm creates, deletes, and modifies relationships between different financial assets to optimize its predictive accuracy. Based on the relationships and the latest market data, the algorithm calculates its forecasts. Since the algorithm learns from its previous forecasts and is continuously readjusting the relationships, it adapts quickly to changing market situations.

For a more detailed explanation, regarding the algorithm, click here.

As highlighted in the newsletter, our subscribers had seen superb returns, whether long-term or short-term. Our investors are able to tackle the market head on with all its recent uncertainties and achieve premiums well over those offered by institutional and classic fund managers. For example, on April 25, 2017, we published a 14-days long forecast of our HealthCare Stocks Package with a bullish signal for Pernix Therapeutics Holdings, Inc. (PTX)Within 14 days 8 of the 10 predictions revealed themselves to be correct and PTX registered a return of 84.37%.

Every week the top performing financial instruments are highlighted, as shown below from this past week’s newsletter.

1. 2 Weeks Result in High Yields 
In these 2 weeks forecast, three out of four of the forecasts had the same highest performing stock pick, PTX yielding 84.37%. The three forecasts were: Healthcare Stocks forecast, the Small Cap Stocks forecast and Stocks Under 10 Dollars forecast. Besides the forecasts accurately predicting PTX’s stock move, each of the forecast’s overall stock picks based on I Know First’s deep learning algorithm surpassed the S&P 500 return exponentially.  Instead of earning a return as low as 0.09% from investing in the S&P 500, the average overall 2 week forecast yield ranged from 11.83% to 17.31%. These forecasts also included other impressive returns from: SYX with a yield of 29.74%, PTN yielding 27.03% and KERX returning investors 22.67%. A different Stocks Under 10 Dollars forecast also selected another high yielding stock, SGMO, returning investors by 67.35%.

Package Name: HealthCare Stocks
Recommended Positions: Long
Forecast Length: 14 Days (04/25/2017 – 05/09/2017)
I Know First Average: 17.18%

I Know First Review

2. Short-Term Stock Pick Results in Over 40% Return in 3 Days
The algorithm short term stock picks outperfomred the S&P 500 benchmark significantly. In three of its forecasts: Risk-Conscious-Aggressive Stocks forecast, Small Cap forecast and Pharma Stocks forecast all picked the same highest performing stock, PTX.  In 3 days, the stock increased by an impressive 46.15% return.  Among the small cap stock picks, RAIL resulted in a superb return of 35.05%. Both the pharma and risk conscious aggressive stocks forecast picked VRX, with a return of 22.96%. The Stocks Under 20 Dollars forecast had a notable return from stock pick, VRX, resulting in a 37.04% return. Along with VRX, DDD also had a high yield of 24.28%.

Package Name: Risk-Conscious – Aggressive Stocks Forecast
Recommended Positions: Long
Forecast Length: 3 Days (05/05/2017 – 05/09/2017)
I Know First Average: 11.35%

I Know First Review
3. Double Digit Growth in 1 Week
Both the Fundamental Stocks forecast and the Top 10 Stocks forecast achieved the same high accuracy rate of 90%. In the Fundamental Stocks forecast, along with Stocks Under 10 Dollars forecast, the highest yielding stock was PTX, returning investors 64.03%.  Among PTX other recognizable stock returns from these 3 forecasts were: VRX with a 30.27% yield, and EXAS with a 16.19% return. In the Pharma Stocks forecast, PTX was also the highest yielding stock with A ROI of 49.78%. VRX and ORMP had returns of 22.99% and 10.96%, respectively.

Package Name: Fundamental – Low price-to-sales ratio Stocks
Recommended Positions: Long
Forecast Length: 7 Days (05/02/2017 – 05/09/2017)
I Know First Average: 10.79%

4. 1 Month Portfolio Average Surpasses S&P 500 Return by over 600% 
As we review the 1 month forecasts, we notice how significant the average overall forecast returns were compared to the the S&P 500’s 1 month return. If we reflect the Pharma Stocks forecast, the overall portfolio average was 13.13% compared to the S&P 500 return of 1.58%. PTX was the top performing stock with a return of 55.59%. The next two high yielding stocks were IPXL and REGN, with returns of 32.71% and 20.43%, respectively. Similar to the Pharma Stocks forecast, Medicine Stocks forecast selected PTX, instead it had a higher return amongst all the 1 month forecast of 74.86%. The Fundamental Stocks forecast had the highest overall return of 13.67% compared to the S&P 500 return of 1.96%.  PTX was the highest returning stock, yielding investors 64.79%. The second highest performing stock was IPXL with a return of 33.21%.

Package Name: Pharma Stocks
Recommended Positions: Long
Forecast Length: 1 Month (04/12/2017 – 05/12/2017)
I Know First Average: 13.13%

5. 3 Months Results in Over 86% Return
During the past 3 months, I Know First subscribers experienced high yields from stocks picked by I Know First’s self-learning algorithm. In the Stocks Under 10 Dollars forecast, KEM was the highest performing stock returning investors 72.64%. IMGN also had an impressive return of 61.38%. The forecast achieved a market premium 16.91%. PPHM was the highest performing stock in the Pharma Stocks forecast, resulting in an increase of 71.92%. Another high performing stock was IMGN. The yield 61.38%.  GNCMA was also the highest performing stock in the Fundamental Stocks forecast with a return of 86.98%. This is the highest yielding stock from all other 3 months forecasts. Besides GNCMA, another rewarding stock was TREE, resulting in shareholders increasing their ROI by 29.07%.

Package Name: Stocks Under 10 Dollars
Recommended Positions: Long
Forecast Length: 3 Months (02/10/2017 – 05/10/2017)
I Know First Average: 20.89%

6. Forecasting Lead to Triple Digit Growth in 1 Year
Sometimes holding onto an algorithmic stock pick for the long-term reaps the most benefits. As we can see in the 1 year time frame from the Stocks Under 5 Dollars forecast, the highest performing stock was KEM. The stock yield 434.77%. AMD had a return of 195.62% and CRNT returned investors 148.59%.  In addition to KEM, the Small Cap Stocks forecast, also the picked GOL, which had a high yield of 362.40%.  Among the top 20 stock picks in the Top 20 Stocks forecast, IAC and WMB had a return of 86.97% and 64%, respectively.

Package Name: Stocks Under 5 Dollars
Recommended Positions: Long
Forecast Length: 1 Year (05/10/2016 – 05/10/2017)
I Know First Average: 92.68%

7. In I Know First’s latest Press Release, CEO Mr. Golgher has been invited as a keynote speaker at the AI Conference & Exhibition in Berlin, Germany between June 1-2.  He will be meeting and discussing AI ability to digest big data and navigate market environment successfully with some of the top professionals in the industry.

8. I Know First’s latest results from its AI-based Systematic Trading Strategies, resulted in both short term and mid term strategies surpassing its benchmark, the S&P 500.

Article Summary 

  1. For some it is hard to ignore critics, especially in the stock market. Since April 2016, Apple was experiencing a pull back due to decreasing sales volume of the iPhone and the aftermath of Brexit. However, despite critics forecasting a bearish trend, I Know First saw otherwise by publishing a bullish forecast on June 29, 2016.  Since the forecast’s release, AAPL shares have increased by 65.36%.
  2. Defying skeptics due to decreasing growth rates in the domestic market last year, Netflix has been achieving new 52 week highs. The company’s ambitious expansion to the international market along with favorable consumer demand, helped the company achieve attractive growth rates. During the same time, I Know First’s self-learning algorithm had forecasted a bullish prediction on NFLX shares on September 15, 2016. In accordance with the algorithm’s predictions, NFLX shares have risen by 65.77% to date.
  3. Amazon has been diversifying its services outside of e-commerce. The emergence of Amazon Go to create a “Just Walk Out” shopping experience has been generating a lot of interest. Along with Amazon’s impressive revenue growth rate, I Know First wrote a bullish article on December 20, 2016. Since the forecast’s release, the stock has increased by 25.5%.