4 Comments
User's avatar
Mark C's avatar

So your stockGPT says PSNY is a strong buy, but a service I have used for many years says that PSNY is one of the weakest stocks right now.

https://www.chartmill.com/stock/quote/PSNY/technical-analysis

Expand full comment
Sohin Chhatrala's avatar

Most service rank things based on how the most recent price action has played out. The reason this is flawed is because this is a lagging indicator. What good is a rating to you if im tell you after things have already moved out of the norm. It's like if i told you a stock is a great buy after it goes up a 1000%, doesn't do much for you as you are unlikely to invest in it because its already up a lot so we take a different approach. We measure probability on how things have recovered in the past and use that to make a prediction of what something is likely to do in the future. hope this help. thanks

Expand full comment
kc's avatar

Well, it was right because it went up 15% in the subsequent days

Expand full comment
Sohin Chhatrala's avatar

Yes, but we'd would still always recommend doing things in a diversified manner since anything unusual can happen with 1 or 2 stocks but unlikely when you do it with diversification.

Expand full comment