Quick thought for our valued readers. Today we are running data for a year through Sept 14. We run all the stocks in the NYSE American (pretty risky exchange), and we found the individually best stock according to their CQNS score. In fact, we score every stock.
1) The best portfolio score we found has three stocks. Two stocks did better than one (power of diversification and negative correlation), and three stocks did better than two (but included the two stocks).
4) The best scoring four stock portfolio was worse than the best three stock portfolio. So, this is the limit of diversification for these specific stocks during this particular timeframe.
So, in this case, a three-stock portfolio has the minimum CQNS score, and best parameters.
We might buy a very small position in these three stocks tomorrow (equally weighted) and maybe pay for dinner and a movie. If we do, we will update the blogpost.
Subscribe to our market service, or buy a run, and we can run this for you.
Non-discretionary investment advice. You pay a fixed price for the analysis (or subscription), and you make and control your investments.
Thank you for watching. You are awesome.
In a short trading week, we found the biotech industry to be down as a reflection on a 'risk off' attitude in the market. There is plenty of cash out there, but more stocks and bonds to invest in (more choices).
We see the US Treasury Department and US Federal Reserve Bank with big choices to make.
We see a small cap plateau progressing for many months now...and unfortunately many people investing in small caps. We are also long the small caps, and not sure how to play it. We could sell calls to earn income and build an exit strategy. We could also hedge the entire holding with going long puts on a 'sympathetic' or complementary position (e.g., $XBI or $IBB).
So much to talk about in the markets. We have been taking screen shots all week.
There is the political side. The President of the United States and US Congress are trying to decide whether to spend an incremental $3.5 Trillion that we do not have, all while coming up against a debt ceiling that will be 'pressing or binding' by October or November latest.
Then, there is our firm. He have been re-coding large portions of our platform (not the model, it is the same...but how we run it). This is taking considerable time and energy. We had to 'shut down' our sales of model runs while we improve the code.
We have begun advertising our videos and website again. The good news is that we are making slow and steady progress attracting 'eyes' to our media presence. The bad news is that Google is very clear where we need to improve. Basically, everywhere. Social media management is a competency...and there is always improvement.
In the end, our foray into buying calls on a 'yolo' basis to leverage and double down on our common stock positions is mixed. We sold most of our calls at a profit (yeay), but after a nervous few weeks. We have a few September 17 calls that likely will expire worthless.
Our positions in $STSA, $AKBA and $CRBP continue to frustrate us. The Summer doldrums have continued for these stocks, with little volume and no lift. Holding these stocks is like watching paint dry. Low volatility in price with 'we believe' significant upside potential. So, we have increased all of our long positions and grow increasingly nervous...
Well, need to finish making the video and get back to the code. It won't write itself.
As a reminder, we passed our Series 65 exam and plan to complete our process of becoming a registered investment advisor in Illinois (and with FINRA). This process is taking a back-seat to our coding and investments. However, it will continue and be completed by the time we are required to be registered (not yet, thankfully).
We are thinking about how to capitalize on our successful CQNS model and have some ideas. If you want to collaborate, call me in the office at 847.780.4401. Yes, I have a landline and yes I answer the phone personally.
We have not forgotten our roots in quantum computing. We completed our personal research into investments in quantum computing and quantum technologies, and have not yet updated our Medium articles or website content. We plan to share those insights with you, our readers and viewers.
Nothing in this video is investment advice and you should always do your due diligence before you invest in securities.
I wish you good luck in the markets and I hope you enjoy the video.
September 10, 2021
BBB A+ rating
Chicago Quantum (SM) is a service mark of US Advanced Computing Infrastructure, Inc.
We do our own research and believe all information to be true and accurate when presented. We are not paid to produce these videos or engage in social media. However, we make money when you buy a stock analysis (or project/analysis hours).
It takes time to make money, so be patient with your investments.
This is not investment advice. Please do your own due diligence and research before investing. We do offer this ‘run’ or analysis as a fee-based service for clients. The costs are $150 if you provide ticker symbols, or between $500 and $1000 if we analyze complete US stock exchanges for you.
We are long $STSA, $AKBA and $CRBP, and have been steadily increasing our long positions in common and decreased our exposure to calls.
Please see our website (footer) for a full list of disclosures.
Week 35 Video
This one was fun. Hope you like it and find insight.
We had some dialog with a listener...should make it more interesting at the end.
Interesting day in the market.
Made a 28 minute video to share observations.
Not investment advice, but hoping it provides some insight.