Winning World Indices Forecast: ^VIX, ^S&P 500 Perform As Algorithm Predicted

World Indices Package: Notable Performers in the Long and Short Position Amid Volatility


On November 7th 2018, I Know First’s top stock predicting algorithm conducted it’s 1-Month World Indices Package Forecast. This particular package, which is offered as one of I Know First’s quantitative investment solutions, includes a daily forecast for a total of 20 indices with bullish and bearish signals. This is divided into the top 10 picks for the long position, and top 10 picks for the short position, which are determined by screening our database daily using our advanced algorithm and selecting those with the highest predictability and signal.

The two most noteworthy performers of this particular forecast were ^VIX for the long position, and S&P 500 for the short position.

The package itself, had an overall average return of 11.28%, in the long position, providing a premium of 15.72% over the SP500’s return of -4.44%. With regards to the short position, the package had an overall average return of 5.79%, providing investors with a premium of 10.23% over S&P500’s return of -4.44%.

Long Position: ^VIX


Short Position: S&P 500

Given the high volatility the market has encountered over the past week, I Know First’s Forecast performance is noteworthy. One month ago we released two interesting forecasts for World Indices to Buy and Sell and Currency Prediction for over 50 currencies. The average gain from both indices to long and short were much higher than the S&P performance over the same time period. Additionally, the currencies forecast has a hit ratio above 70% despite the extremely turbulent time.

The I Know First algorithm creates its daily forecasts by finding the hidden relationships between various assets and indicators and one of the aspects it takes into account is volatility. In our newsletter two weeks ago, we warned subscribers to be wary of volatility as the VIX, one of the primary volatility indices, has a bullish outlook. Our forecast a month ago reiterated this stance while also including negative forecasts for some of the main world indices including the oil index (OSX) and S&P 500. Over the predicted time period, the VIX increased over 15% while oil dropped over 20% and the S&P 500 decreased by nearly 5%. 

Despite the high volatility, there are still opportunities for long positions. Our algorithm recently gave strong signals over 7 days for XPER and AU which jumped 26% and 14% respectively. The machine learning algorithm also gave a 14 day bullish prediction for CORT which gained over 25% in this time. 

How to interpret this diagram

Current I Know First subscribers received these bullish and bearish 1-month forecasts for ^VIX and ^S&P 500 on November 7th, 2018.

To subscribe today click here.

 Algorithmic traders utilize these daily forecasts by the I Know First market prediction system as a tool to enhance portfolio performance, verify their own analysis and act on market opportunities faster.

Please note-for trading decisions use the most recent forecast.