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Stocks to Short: S&P 500 Stocks Forecast Performance Evaluation Report for Short Positions

March 29, 2020

In this stock market forecast evaluation report, we will examine the performance of the forecasts generated by the I Know First AI Algorithm for short positions for S&P 500 stocks which were daily sent to our customers. Our analysis covers the time period from January 1^st, 2020, to March 25^th, 2020. The report also demonstrates the performance since Coronavirus started affecting global economy (February 22^nd). Below, we present our key takeaways of our stock market predictions.

Chart 1: Average returns for S&P 500 stocks to short forecasts for time horizons spanning from 3 days to 1 month against SPY (short position) since January 1st, 2020.

Chart 3: Average returns for S&P 500 stocks to short forecasts for time horizons spanning from 3 days to 1 month against SPY (short position) since February 22nd, 2020.

Chart 4: Hit Ratio for S&P 500 stocks to short forecasts for time horizons spanning from 3 days to 1 month since February 22nd, 2020.

S&P 500 Stocks to Short Evaluation Highlights:

Stock market forecasts for short positions that were generated achieved positive returns and outperformed SPY (short position) on both periods analyzed.
Signal filtering has a positive effect on returns for 3-,7- and 14 days time horizons.
I Know First algorithm performed impressive accuracy achieving hit ratios higher than 60% on every time horizon and reaching up to 98% on 14 days’ time frame over coronavirus times.