Published: June 12, 2026.
Hello folks! I’m Marina Stroud, here. On behalf of our education team, that’s me and Kristin Magenst, we are so excited to have you with us today. Thanks for letting us be part of your investing journey.
To further support your investment journey, we partnered with Senior Analyst Mike Burnick to bring you a quarterly Inside TradeSmith presentation. This series delivers expert commentary, actionable strategies, and timely perspectives on the latest investing tools and market trends within the TradeSmith ecosystem.
You’ll see live demonstrations of key features, learn how to apply these tools in real time, and get your questions answered directly during our interactive Q&A.
Transcription Disclaimer: This transcript was generated automatically from a recording and has been edited for clarity. While we've made every effort to correct errors, some words or phrases may be inaccurate. Please refer to the original recording for complete accuracy.
Mike Burnick | 29:33
Hello Marina.
Marina Stroud | 29:33
Hey Mike, how's it going?
Mike Burnick | 29:37
It's been too long since you and I shared the virtual stage here on Inside TradeSmith webinars. I miss these sessions with you and all of our loyal members that always tune in for this.
Marina Stroud | 29:46
[Laughter].
Mike Burnick | 29:52
This is a highlight of my day. It is when I'm able to interact with all of you folks.
Marina Stroud | 29:58
Yes. Absolutely. Same here. So today we're going to demo some key features.
We're going to apply them in real time and get your answers. Get your questions answered. I'm going to do my best to peek through the chat as we're going through the presentation. I just ask that we try to keep our questions pertaining to the topic at hand. We have Blake from the editorial team that will help us out as well.
So... All right, let's check out today's topics.
Today, Mike is going to showcase the latest enhancements across the TradeSmith platform. We’ll review new updates to products such as Quantum Edge Pro and Signals, along with additional features designed to improve your overall experience.
Mike will also highlight the latest Screener updates and demonstrate a practical screening strategy you can use to find potential opportunities.
- Quantum Edge Pro: Senior Analyst Lucas Downey’s Quantum Edge page
- Sectors, industries, and Luke’s Top Trends
- Signals Updates:
- Notes to track your alerts
- Additional filters added to Today’s Signals
- Create a TradeSmith Screener
- Live Q&A
Mike is going to highlight the latest screener updates. I don't know if you know this about Mike, but he is known as the king of the screener tool. [Laughter] That's right.
Mike Burnick | 31:02
The Sultan of screeners. I've known that.
Marina Stroud | 31:06
That's right.
So he's going to show you some practical screening approaches that you can follow to find potential opportunities. So as always, we end with our live Q&A. All right, so...
Mike Burnick | 31:21
Yeah, and this looks like a formal lecture, but we're going to have fun here today, folks, so don't let Marina's picture that you put together with the help of Photoshop scare you away.
Marina Stroud | 31:31
That's ChatGPT [Laughter]
Mike Burnick | 31:33
I see. Even better.
Yeah, Photoshop is dead now, right? Because ChatGPT has taken it over.
Marina Stroud | 31:40
Hey ChatGPT, here's a headshot of Mike I want you to put in a setting where he's teaching. Then I put the other screenshot in the background, and it just did it for me, so it was cool.
Mike Burnick | 31:51
I think maybe you had another prompt fed into ChatGPT because it looks like I'm about 10-15 pounds lighter, which I appreciated.
Marina Stroud | 31:57
[Laughter] That's right.
Mike Burnick | 31:58
By the way.
Marina Stroud | 31:59
Now, in the next slide, as we go into our disclaimer, we got a cartoon version.
Mike Burnick | 32:04
[Laughter] I still look like Captain Kangaroo.
Marina Stroud | 32:04
Mike... [Laughter] No, this is great.
Mike Burnick | 32:10
I don't know why. ChatGPT thinks I'm Captain Kangaroo.
Marina Stroud | 32:16
The information we’re sharing today is for educational purposes only. We are not financial advisers, so while we love talking about markets and tools, we can’t provide personalized advice or tell you what to buy, sell, or hold. Please think of us as your friendly TradeSmith tour guides.
Marina Stroud | 32:32
So just think of us as your friendly trading tour guides. All right?
So with that, I'm going to head to the website, so give me one moment, please, and we'll kick things off.
Go to the website.
Mike Burnick | 32:51
What should we dive into first?
Marina Stroud | 32:51
You it's yeah, that's yeah, let's go to Quantum Edge at the top navigational header.
Mike Burnick | 32:54
Maybe Quantum Edge, because that's like our older tool, so...
Marina Stroud | 33:03
And, we've had a quite a few updates, so feel free to take us through them. Mike?
Mike Burnick | 33:09
Yeah, for sure. You can guide us along the way if I would appreciate that. But for folks who were maybe new to TradeSmith or... Don't know Quantum Edge, of course, is based on our Quantum Edge Pro newsletter service, and this is the database behind it. This was actually developed by Jason Bodner and Lucas Downey independently. They brought it to TradeSmith a few years ago. This analysis really focuses on three things. They focus on, of course, the fundamentals of each stock.
They rate and the technical strength.
You know the trends. Very similar to what we do with our own proprietary indicators at TradeSmith.
And then the third element is the all-important money flows. They have come up with a way and algorithms to identify big money flows coming into and out of stocks, ETFs, even the entire market.
So that's basically what the analysis is centered around. You can type in any stock you like. Maybe we'll try a more popular stock like, I don't know, Nvidia, for example.
Marina Stroud | 34:19
Yes, sir.
Mike Burnick | 34:21
You can see you get the lowdown right at the top. You can see the sector, it's in technology, the industry semiconductors and you get the recent changes in the stock plus the all-important Quantum Score, which is the amalgamation of the big money flow indicators that are proprietary to the system plus the technical and the fundamentals.
So Nvidia scores very highly as you can see at 82.2. That's very good. You can see in the bottom left, the current score shows a little temperature gauge there. So Nvidia is hot at 82 and you can see the changes over time in the score here to the right, the historical score is something we recently added is this particular graph which shows the historical scores. The blue shaded area, of course, is the price of Nvidia itself.
Then we've plotted a chart.
It looks like a wacky EKG, but it all makes sense when you look at each factor individually. We plot in blue the technical score, and then plotted there is the fundamental score, and the final score overall is our Quantum Score, which includes the money flow factor.
Marina Stroud | 35:39
It's interesting how the fundamental score generally doesn't go wonky like the others. Right?
Mike Burnick | 35:47
Yeah, exactly. And that's, you know, because of we're looking at fundamentals. I should say. You know, Lucas Downey is who runs the Quantum Edge Pro service at this point. He, you know, they look at fundamentals over more of a long term basis.
You know, the usual things sales and earnings, profit margins, return on investment, return on equity and those kind of factors don't change too much from one quarter to the next. They can change over many years, of course, but Nvidia, you can see here has consistently had very high scores in terms of the fundamentals up in the 90% range. The one that moves around tends to move around a lot is the technical score.
Because that all depends on the trend in the stock price, which can change depending on how volatile the overall market gets. As we know, sometimes it's way up and doing well, sometimes it's heading down. Just this year, we've already seen a really good uptrend in the first few months of the year, a sharp downtrend in March, and then, a resumption of tremendous upside in April and May. Now we're getting a little bit more volatile again. We've seen some turbulence here over the last few weeks in the stock market.
So yeah, that's part of the course. Of course, we know we're in a midterm election year, which actually introduces a bit more volatility, but I don't want to digress too much. But yeah, you see the technical score and the money flow scores move a lot more than the fundamental score.
That's a great observation, but overall, the score on the stocks you can see or are tremendous.
Marina Stroud | 37:25
Yes.
Mike Burnick | 37:31
If you're 80 or above, the higher the better. With the Quantum Score. As you know, Marina and so...
Marina Stroud | 37:36
Yes, exactly.
Mike Burnick | 37:37
Nvidia is in. Certainly in that sweet spot right now.
Marina Stroud | 37:42
And just to point out some features on the page, folks, right at the top you'll see the most recent Quantum Edge Pro recommendations. Here we have Ticker MKSI, Generac and so forth.
And you can click this link below to view all of the positions open, closed or all. And then I like how, I like Mike how he has these tabs. So he's got the stocks where you can come in here and search.
But you have sectors, industries, and Luke's top trends, which is pretty neat.
Mike Burnick | 38:18
Yeah, let's take a moment on that for folks that may not have seen them before because these are newer features that we added to the website.
Marina Stroud | 38:26
Right?
Mike Burnick | 38:27
So if you click on sectors, what you can see here is a breakdown of the Quantum Score by sector, which is very important because you know right away that... I mean, you're maybe surprised to find that technology is actually in third place. They're at around 67 right now. Energy is actually the number one sector by the average Quantum Score.
Of course, we know the technical score has really helped out recently with that because a lot of the energy stocks moved higher once the conflict with Iran started. So they're still doing well.
Marina Stroud | 39:01
Right? Right?
Mike Burnick | 39:02
The fundamentals were always pretty strong, but they're trailing a little bit on the fundamental side compared to the technicals. We have seen very strong money flows though into the energy sector of late, and that's picked up there in that average Quantum Score.
You can see every sector on the way down. It's a good easy way to look at a glance of which sectors you may want to focus on and which maybe to avoid.
Marina Stroud | 39:29
Right.
Mike Burnick | 39:29
Let's see, if you click on the next tab over, the industries tab, this is similar, except it breaks it down even further.
Marina Stroud | 39:30
Exactly y and no.
Mike Burnick | 39:37
So you see, electronics and computer distribution is right at the top right now. That's because, of course, it includes semiconductors and the computer stocks that have been doing so well lately.
So that's at the top of the charts here. And then you go down. You see, trucking, department stores, et cetera. Further down. So this is gives you a kind of a closer look, if you will, at what's hot and what's not in terms of the industry groups.
Marina Stroud | 40:07
Right, Tony's asking what the color dots mean, and that's a really great question. I had the same question. You can see yellow, some are red, some are green. It's just going off of this little Quantum Edge speedometer reader.
Marina Stroud | 40:23
So it's just the color gauges. So you want to be in the green area for buys, red definitely you would bypass. So we want to be in this range right here. As Mike said, 80 to 100. I think the best would be 90 to a hundred, but it's just like a grade, a school grade. You want to be in the grade, right?
Mike Burnick | 40:48
Yeah, it's just like go to the head of the class in elementary school, right? If you get an a plus, you know, 90 some odd percent, then that's the highest score.
And it goes on down from there. If you're below 60, you know, in school, you're failing in class.
Mike Burnick | 41:03
On the Quantum Edge system, it maybe doesn't mean the stock's failing, but it's just out of favor right now in terms of money flows and fundamentals and technicals.
Marina Stroud | 41:09
Yeah, exactly, right?
Mike Burnick | 41:12
But yeah, that's what those dots represent. It's kind of a heat map, if you will, for each sector and industry group to.
Marina Stroud | 41:18
Yes, right.
Mike Burnick | 41:19
So you know, at a glance, whether it's making the grade or not, so to speak, right?
Marina Stroud | 41:25
And not to be confused with our health indicator, our green, yellow, red system. Okay, don't confuse you with that.
Mike Burnick | 41:31
Exactly.
Marina Stroud | 41:31
[Laughter].
Mike Burnick | 41:32
Yes, that's a good point.
And we should differentiate that. You know, a lot of the stuff we've added over the years and quantum the quantum scores are certainly one of them. That doesn't really have anything to do directly with things like our, you know, our TradeSmith health grades.
I mean, that's just an additional piece of evidence. Obviously, if you find a stock like Invidia that has a very high marks on the quantum score, it's nice to if it has a good health grade, you know, health indicator green zone and at least the short term, if not the long term as well.
But the two don't actually work together. So they're very they're based on different inputs and different indicators. It's important to understand.
Marina Stroud | 42:12
Right. Armando is asking if the Quantum Edge system is geared for short-term trading or long-term investing.
Mike Burnick | 42:23
You know, that's a great question. Even our own TradeSmith indicators kind of split the difference. I mean, if you look like our new, newer short term health grade, you know, that takes a view of a particular stock over a period up to about a year or so.
Mike Burnick | 42:41
Whereas our long term health grade indicator looks at much more of a longer term pattern in the particular stock of, you know, up to three years or so.
So you know, everything is a little bit different. The scores that go into Quantum Edge specifically. And you know, Lucas Downey could certainly probably this and answer this better than I can. But they look at the fundamentals, which is more of a long term, the technicals, which is kind of a short to intermediate term.
And then of course, the all important factor of the big money flows. And those can change pretty rapidly, as we all know. You could see institutions all of a sudden taking a huge position in a particular stock or sector.
That can show up in those big green bars that you often see on the money flow charts that Lucas shares with us. That indicates that big institutions are piling in to a particular stock or sector.
But that can be fleeting. It can last for a few weeks, a few months, and then fade away, and in another sector, it can start picking up quite a bit.
Marina Stroud | 43:51
Right? Right. Exactly.
Mike Burnick | 43:55
Okay, so there's one other tab here I definitely want to highlight, and that's Luke's Top Trends.
Marina Stroud | 43:56
Yeah.
Mike Burnick | 44:01
Now Lucas Downey insisted on... We add this to the Quantum Edge portfolio, and I think it's Dynamite. It is one of my favorite sites.
If you click on that, you can see at a glance what Luke's favorite trends currently are, and you can see right there at the top is AI infrastructure. No surprise there, it's been red-hot lately.
Marina Stroud | 44:21
Right now we talked to... You mentioned money flows.
Mike Burnick | 44:23
It's capturing them, the imagination. And the really cool thing is you can click on, you know, the more details tab. Go ahead and click on that, and you can see some of the top stocks and their own quantum scores that are in that particular theme. Again, this isn't really a sector, although, you know, I kind of is a sector now, but it's mainly a theme, a big idea theme or trend that Luke is looking at right now is focused on.
So you can see Analog Devices is there, Advanced Micro, and Arista Networks and so forth and so on. All the companies that are there are really leading the build out more. More than anything else, the plumbing, if you will, of artificial intelligence.
Marina Stroud | 45:14
I just want to make sure everyone is clear that...
Jeffreys asking where do you see money flow? So it's not... You're not going to see that score it but it's going to be incorporated into the overall Quantum Score, correct? Mike?
Mike Burnick | 45:28
That's correct. Yeah. We break out the technical and the fundamental scores because those can change the technical, especially on a faster-paced basis than the fundamentals, which is why we've always broken those out
but the Quantum Score includes the money flows as well. So you're not really going to see stocks that are at the top in less... It has very strong money inflows. You could see that, I think, if you wanted to click on any one of those stocks. Analog Devices, being a good example, can actually get you...
Marina Stroud | 46:01
Not really click on it.
Mike Burnick | 46:03
Yeah, click on that and I'll actually show you a graph of what's going on here.
Marina Stroud | 46:04
Okay.
Mike Burnick | 46:12
You can see there's a... If you scroll down, I think if you scroll down further, you can see the Quantum data in more detail.
Marina Stroud | 46:19
The Quantum Score data, yeah, go to more and then if you go to the indicators, it'll tell us the Quantum Edge and we can look at OOP, did I hit?
Mike Burnick | 46:21
Yeah, the actual Quantum data in more detail.
Marina Stroud | 46:35
Yeah, there it is. I get confused.
Mike Burnick | 46:36
Yes. So you get the score here and this breaks it down kind of in the same way.
Marina Stroud | 46:36
Several times. It goes with...
Mike Burnick | 46:42
So that way, you can kind of evaluate each individual stock alongside some of our other proprietary scores. You can see Business Quality Score, which I happen to be a favorite of mine, is there to the left.
And a BI actually doesn't have as high a BQS as I would have thought. It's 65. That's a little more on the lower side.
Marina Stroud | 47:01
Right? It seems. LO.
Mike Burnick | 47:04
But that's why it's good to look at a mosaic of different data and different indicators.
The Business Quality Score together with the Quantum Score together with perhaps Predictive Alpha, which is very short-term.
Marina Stroud | 47:10
Right.
Mike Burnick | 47:17
We had, you know, of course, that question a minute ago. They're looking at the change, the likely change in the stock price just over the next twenty one days.
But you know, you can kind of get a composite picture by looking at all these various data points in seeing what you know if there there's certain data that confirm other data that gives you a higher conviction in a particular stock.
And we'll see that more when we come to the screener section.
Marina Stroud | 47:45
Bobby's mentioned that when Lucas discusses a stock in an article or email, he shows the money flow chart.
So the money flow chart is part of their proprietary map signals.
Mike Burnick | 47:58
Right?
Marina Stroud | 47:58
Some that he and Jason Bodner developed. That's not incorporated into TradeSmith, but he does show that when he... He does his own little articles and webinars, I think.
Mike Burnick | 48:12
Yeah, that's right. You can typically see that in Quantum Edge Pro when he recommends a particular stock.
Marina Stroud | 48:17
Right?
Mike Burnick | 48:18
And you can see that at the very top of this page, which we saw in the beginning. The recent Quantum Edge Pro recommendations are all right there.
And you can click on View Portfolio Details and that'll take you to the entire portfolio.
Marina Stroud | 48:34
Exactly.
Mike Burnick | 48:35
From there, of course, you can link to the back issues when you know the particular stock was recommended. And see the money flow chart there if it was included in that particular issue.
Marina Stroud | 48:47
Yes, exactly. All right, so for now, you'll have to look at the money flow chart. The focus will be on his emails and when he does his mail bag videos and any other update videos. All right, anything else on the Quantum Edge Pro, folks? Any questions regarding Quantum Edge before we move on to signals?
Yes, as Blake posted here, we are showcasing a Platinum subscription. So depending on your subscription, you may not have access to some of these features. Okay? So if there's something you're not seeing, it's most likely based on your subscription.
Mike Burnick | 49:37
Yes, that's right. This is everything, including the kitchen sink, folks, is thrown in here.
Marina Stroud | 49:41
[Laughter] Right.
Mike Burnick | 49:43
We're lucky enough. Yeah, we're lucky enough. Marina Blake and I to have full access. And I'll tell you, it more than pays for itself from a Platinum membership level.
If you don't have access to it now. And you know, you can subscribe to Quantum Edge Pro separately. If you're not currently a subscriber, that's right, let's do that.
Marina Stroud | 50:01
It's not to say Poo poo... You don't have it. It's when we demo, we like to showcase all the available features. That way, you can see them in action and make a decision if it's right for you.
That's why we demo on the Platinum, so that you can actually see it in action. All right, alright, so should we dive into signals now?
Mike Burnick | 50:30
Conveniently located just to the left of the Quantum Edge tab is our signals tab.
Marina Stroud | 50:33
Right. It has to go... Walk far? [Laughter] Yes.
Mike Burnick | 50:37
Of course, most folks have probably seen this. We launched it what's been about a month or so ago now, and this is a really exciting feature we were looking at, basically.
Mike Burnick | 50:49
This, by the way, the signal studies actually came out of a project Lucas Downey spearheaded here at TradeSmith. In terms of what happens when a particular stock maybe goes down, I don't know, ten days in a row, or what happens next when a particular stock has an RSI below 20 and then it suddenly surges to above 30.
Instead of just guessing what comes next, you know what we actually do is go and look through the hard data, which TradeSmith is all about the hard data. So you make a very educated decision and we find out what happens next. We answer those questions.
That's really what Signals is all about. One of the newer features I want to cover right at the top because it is right at the top of the page is our new Signals Master portfolio. Now this is a very nice new feature because what we do is we single out some of the very top stocks that are algorithm according to our algorithms that have very high win rates and very good consistency in terms of making the move we expect after one of these signals flashes.
So you can see the top three stocks that are right there. Of course, you can always click on view in the model portfolio. That takes you to another page where you can see the actual signals model portfolio as well with all the details. You just click on any stock, for instance, Modine Manufacturing, and that will take you, of course, to the standard TradeSmith overview page where you can see all the details you know on that, including... Now the details from our actual signals studies as well.
Marina Stroud | 52:45
Yes, exactly. Let's hop back there. You mentioned the signal studies. So if we go back to the signal studies, we do have an article on the signal studies.
It's part of the Signals Getting Started series. So folks, if you go to support and go to getting started, the Education Center will come up. Scroll down to Signals. There's... I've updated these recently, so they should be good to go there. There is how to build a signal study so you can learn... There's a welcome learn about the top signals, today's signals, how to research a signal.
Then the model portfolio information as well. So...
Mike Burnick | 53:40
Everything you ever wanted to know about signals eventually.
Marina Stroud | 53:41
[Laughter] And more.
Mike Burnick | 53:45
Yeah, the thing about signals, if you go back to the main page and you scroll down a little bit from where we were...
Yeah, the master. Then these... This first tab that's by default is the top signals. Of course, and that's today. It's the top twenty stocks by signals. But those change pretty frequently. If you have been using this for a while, you know that every week you'll see new stocks in here.
Then if you go to the next tab over today's signals here, you'll see hundreds of different stock signals on that particular stock. So, depending, of course, on what your filter is... Well, we've got a lot of filters here right now, but...
Marina Stroud | 54:27
I have a lot of filters. Sorry, let me take let me reset.
Mike Burnick | 54:31
Yeah.
Marina Stroud | 54:31
That was one of the new features too. You can reset your filters back to the base model. [Laughter].
Mike Burnick | 54:38
Yeah. Just clear all your filters. But this is the standard listing without any filters engaged. And that can give you hundreds of different stocks. So, there are a lot of signals.
For that reason, we do have a lot of educational material that we've produced and provided in Marina. You've done a lot on this. Even Michael Carr, head of quantitative development, has done several videos on that. Of course, Lucas Downey has done his videos as well, and that's a really great resource. Anybody that's just getting started with signals, we probably want to start right there with some of the educational material, especially including those videos where they go more in depth than we can in just this hour.
Marina Stroud | 55:09
Yes. Seven exactly, and I'll show folks how to get there. We did have a question from TA, hopefully I pronounce the name right now. You said you're new to signals, and you would like to know why the recommended stops are so small.
So you said AI signals. I presume you're referring to signals here. If you look at the column that I have my mouse over, you will see optional stop losses. That's not part of the backtesting for the system.
But there are folks that are more risk-averse, and so they have the choice of adding a percentage trailing stop. It's derived from the VQ, but because the holding time is much less. So generally 21 trading days or less. We couldn't use the full VQ because the full VQ is more long-term investing.
So they derived it from the VQ, but they adjusted it down to make more sense for the trading whole time.
Mike Burnick | 56:28
Right, exactly.
Marina Stroud | 56:30
Yeah.
Mike Burnick | 56:31
And...
Marina Stroud | 56:31
So go ahead.
Mike Burnick | 56:32
I'm sorry. Go ahead, Marina.
Marina Stroud | 56:35
Just so you know, for the signal education, you can access it here on this link, or you can go to my services, and if you scroll down, you'll have all of your newsletter publications. There's Quantum Edge Pro, and you can click on signals, and I recommend before you dive in.
This is what I did too, folks, before I started trading these signals, I went to resources. And we have guides one, two, three, and four. The rule book is on the site. So I would definitely take a look at this material.
Okay, so we covered the signal studies.
Mike Burnick | 57:21
Yeah, exactly. And let's see.
Marina Stroud | 57:27
They have updated indicators here. You know what was really cool? Mike is under my alerts. You have the ability to add a note.
Mike Burnick | 57:39
Yes, you can. Maybe walk us through one of those on your platform.
Marina Stroud | 57:44
Yeah.
Mike Burnick | 57:46
But yeah, this is very interesting.
It's a good addition here because one thing we didn't maybe cover is that these signals tend to be some of them tend to be very short-term. The way you can view that, of course, is just by looking at the entry-exit rule, which is the fourth column over along with a category that can give you an idea how short-term or long-term the trade is.
Generally, these trades skew for anywhere from a week to several weeks in terms of what we expect to see and how we expect the signal to play out over that time frame. So it's great to have the My Alerts feature because if you're getting into a stock and it seems like the average holding period is only, let's say, thirteen days...
We see here with Nokia right at the top number one on the list, if the average holding period is 13 days... You could be busy, who knows, out golfing or out to lunch, playing with the grandkids in the backyard or in the pool.
Marina Stroud | 58:44
[Laughter].
Mike Burnick | 58:48
And you might forget that it's you know, thirteen days has already elapsed. And so you could set an alert to let you know that Nokia has moved a certain percentage. But between now and then... So you can keep a better track of it if you're actually in that particular stock.
Marina Stroud | 59:04
Right, exactly. I don't know if you saw me, folks, but I just added a few to our alert. So when you go to top signals or if you're in today's signals and you want specific filters, for example, one of the other additional filters that we have here too is I was asking for earnings because I got into one. Where is it? There it is under general days to earnings. I got into one of the signals and then it... I didn't realize the earnings were coming out the next day and it just dropped for...
Mike Burnick | 59:49
Yeah, that stocks often do that on earnings when they're not good. So you got to be careful.
Marina Stroud | 59:53
And so, yeah, I that. Well, I learned my lesson. And I was like asking, please, can we add days to earnings? Because I don't want to trade around earnings. I mean, I know times it could go in our favor, but it just dropped.
And I was like, that was a big loss. [Laughter] The.
Mike Burnick | 01:00:13
Yeah, that's the double-edged sword of earnings announcement. You know folks that you know the constant cash flow service or participate in that frequently know that we try to strenuously avoid earnings dates for just that reason. We don't want to buy or sell an option, I should say, and sell a put option that doesn't expire around an earnings date.
Because then you can see these huge gyrations, which are of course magnified either positively or sometimes negatively magnified by the option itself.
Marina Stroud | 01:00:44
Right.
Mike Burnick | 01:00:49
So it's always a good idea, even with signal studies because they're short-term, to think twice about whether you want to hold it through an earnings day because that can add some very unexpected volatility.
Marina Stroud | 01:01:00
Yes, exactly. A question came in from Jim. Can you please explain the entry and exit shown?
Mike Burnick | 01:01:11
Sure. That's actually easy to do because, as you know, Marina, you can just zoom in there on the actual signals themselves. In the fourth column over you have the entry exit rule. You just click on the highlighted entry rule and it tells you exactly what's going on here. Now this particular entry rule for the Nokia signal was the fact down closes on 13 the last 21 days.
There are a lot of tech stocks that qualify for that signal recently, but this one did.
Marina Stroud | 01:01:41
Right.
Mike Burnick | 01:01:44
So that's telling you this stock is oversold. It's been down thirteen out of the last twenty-one trading days. It's probably due for a bounce.
It has done this in the past. Remember, this is based on actual hard data of how Nokia has responded in the past to these types of signals. So going back many years, because Nokia has been around for a while, we found that usually it does bounce back strongly after it's been in a losing streak like that.
For more information, you can click on the View entry rule in the Playbook, which is a great resource. In addition to the videos and the other educational materials, Marina provided the playbook.
If you need some bedtime reading or by the fireplace, you can go through that.
Marina Stroud | 01:02:29
[Laughter].
Mike Burnick | 01:02:33
It's dozens and dozens of pages that go through every possible question you might have on what is the signal, how is it put together, what's the time frame, what's the average holding period, what can we expect next? Basically, and there are several different categories of rules that we follow in signals, and they're all covered in that playbook, which is just a great resource. You may even want to download it and save it for reference.
So you can actually create a PDF or word document out of it, depending on your software capabilities and then you can... You can highlight certain rules and in certain signals that might be among your favorites.
So that's a great resource to check out. And then of course the exit role.
Marina Stroud | 01:03:22
Right?
Mike Burnick | 01:03:23
As you can see, just going back to where we were looking at the Nokia, the exit role is displayed for every trade right below it. By just clicking on that link, you can see that's the lower part here.
So here for Nokia, you would exit at a predefined profit target of 6% or after 21 trading days. So it's pretty simple and straightforward. We expect Nokia to jump at least 6% over the next 21 trading days.
That's kind of...
Marina Stroud | 01:03:55
Right.
Mike Burnick | 01:03:56
What's your exit preference? That's where setting alerts and stops come in handy as well.
Marina Stroud | 01:04:03
Exactly. So you just click that little bell and then it's right here for you.
If an alert is triggered, you're going to see that when the alert is triggered, it's going to get moved to the closed tab, and it's going to show a little green dot. I wish I had one here, but it will show a little tiny green dot above the closed tab.
It'll show a little green dot next to the trading goals. So you... It'll be the first one on the list. That's another thing I asked Heidi to do for us because when I had a triggered alert, I was going to the closed tab and I couldn't find it, and I was searching for this little green dot. I'm like, "Can we just make it automatically go to the top of the list, please?"
Mike Burnick | 01:04:56
Go to the head of the class. Or the top of the list.
Marina Stroud | 01:04:57
Yeah, go to the head of the class.
Mike Burnick | 01:04:58
As it work.
Marina Stroud | 01:05:00
So, yeah, so you'll get an email. And yes, Howard, right now the alerts are sent by email for any signals that are triggered. You'll get that after the market closes.
So the idea is that the following day when the market opens and you take action and close the trade. So, yeah, I think those are all the signal updates that we have. The notes column is really cool because, for example, I noticed that on a few of my trades, I would get the alert that it met the intraday high, and then the next morning when I tried to get out of the trade, the price had already dropped, and so now I'm at a loss.
Mike Burnick | 01:05:55
Hey.
Marina Stroud | 01:05:59
So what I did is once I with Fidelity, I bought the shares and then afterwards I set an exit plan and just did a sell limit order so that once it hit that trading goal intraday, I would be automatically filled and not have to wait till the next day.
Mike Burnick | 01:06:19
Yeah.
Marina Stroud | 01:06:22
But I mean, that's the idea is to exit the following day once you get the alert but this is why we put some of these trading goals so you can see what our trading goal or target price should be.
Mike Burnick | 01:06:40
Yeah, and you don't either.
Mike Burnick | 01:06:43
You don't have to. It's important to point out really follow these exactly if you don't want to. If you go back to the Top Signals page, you'll notice that for Nokia, there it is right at the top of the page. The maximum gain over 177 past occurrences we see in the column further right.
So that's a lot of occurrences. I like to see signals on stocks where there are 100, 200, or more past occurrences because it gives you more conviction that it's based on a larger sample size.
Right?
Marina Stroud | 01:07:17
Right.
Mike Burnick | 01:07:18
But you. You notice there in the max gain column, the max gain for these trades in the past for Nokia has been 15%. So who's to say if it gets to 6% that it can't keep going further, right? So you may want to set an alert at 6%, but not necessarily automatically exit it there. You may want to give it a little bit more room to run.
That's the kind of thing that's up to you. That you can manage your trade. Each individual trade as you see it.
Marina Stroud | 01:07:48
For Nokia, if you are more risk-averse and want to put an optional stop loss, you can set it at 6.2% in case the trade goes against you.
Mike Burnick | 01:07:58
Right, just in case. And some of them do. You can see that in the stats here with the max gain in the max loss. That's another good column that I always like to eyeball. And again, you can click on the ticker symbol for any one of these stocks.
Like. Let's take Broadcom (AVGO), fourth on the list. I think that's a good example because it's a stock.
Mike Burnick | 01:08:25
Everybody knows Broadcom is probably one of the biggest beneficiaries of what's going on with this AI build-out right now.
Their chipsets are in high demand, but if you scroll down, you get all the summary statistics here on this page, where you can see the accuracy rate of 80%. The average gain. The typical gain is more like the median gain.
So the median gain is at 7.6% is actually a little higher than average.
Marina Stroud | 01:08:46
Right?
Mike Burnick | 01:08:53
The average win is 8% on all winning trades. Meanwhile, the average loss is only 5%, so that doesn't sound like much of a difference.
Maybe. But over time and over hundreds of trades, that can really up just that extra 3% or so advantage in the win rate versus a loss. And of course, you could see that too on the max wins. 32% compared to a max loss of less than 20.
Marina Stroud | 01:09:19
Right?
Mike Burnick | 01:09:21
The next factor is the reward to risk ratio, which basically takes into consideration these average and median gains and losses.
So the reward is basically six times the risk you're taking in any signal you see on Broadcom. That's interesting. It shows you the average holding time, which in case is pretty short, only about 12-13 days.
Marina Stroud | 01:09:45
Yeah. Absolutely.
Mike Burnick | 01:09:47
And one other feature I'd like to point out because I think it's my favorite on here. If you scroll down just a little bit further and you can see this scatter graph which shows you all these past trades plotted on this graph.
And what you can see here, it really jumps out at you visually. You know, the zero line is right here between the median gain in the median loss. Which, by the way, the median gain at 8% is more is almost twice the median loss.
Marina Stroud | 01:10:15
Right.
Mike Burnick | 01:10:16
But you see, most of these dots are above that zero line, which means that these signals on Broadcom are profitable much more often than they are unprofitable, especially recently. You can see since January 2024. Every signal we've gotten out of the dozen or so that are there on the scatter plot has been a profit.
So it's good to look at the scattered plot to get a better feel for what the overall population looks like in winners versus losers.
Marina Stroud | 01:10:41
Yes.
Mike Burnick | 01:10:51
And even more importantly, what's the recent trend?
Marina Stroud | 01:10:55
Yes, absolutely, yeah, I like to look at this little graph before when I'm comparing a couple of signals.
Mike Burnick | 01:11:01
Yeah, I'm a graphic guy, like I'm a visual learner, I guess they say so I always go straight to the graphs.
Marina Stroud | 01:11:04
Yes, vis exactly. They updated the historical signals event path graph, and that's at the bottom of that page.
Mike Burnick | 01:11:19
Yeah, that's a nice pattern graph, very similar to what we have in our options page for the typical range you would expect an option to move in. This is the typical range again based on past historical performance that Broadcom has moved in after flashing a signal.
You could see, of course, just by hovering over it, like Marina is doing now, you can see the historic average gain at a particular point in time, plus the highs and lows.
Marina Stroud | 01:11:49
Yeah, I like how it highlights the typical whole time for this signal for this one. Twelve days.
Mike Burnick | 01:11:57
Yeah, that's a nice short-term signal. Of course, I think we mentioned this, but if not again on the main page of the signals, if there's an option play which is a short-term period like only twelve days, you might consider...
Well, it might be better to just buy a call option on it than buy the stock itself and tie up less money that way. So to the far right, if there is a recommended option strategy, it'll be listed there. You just click on view, and I'll tell you...
Well, we think here you your best bet is a credit spread strategy or if it's a single credit, it's right there just selling a put option to earn some money. So that gives you an idea. Again, this is just a suggestion. You may just feel like buying the stock outright, but it's nice to have different options, pun intended.
Marina Stroud | 01:12:49
[Laughter] Exactly. So Eduardo is asking how can you be sure that it's not too late to enter?
So as far as I understand, these top signals are good for the whole trading day. They will update in the evening. And then so you can... The next morning they'll be updated for you.
Mike Burnick | 01:13:15
Yeah, that's right. And, you know, if you happen to see a signal that maybe triggered a day or two or three ago and you just missed it the first time around, you know, you can kind of just. You use your own judgment, you know, if the stock.
Marina Stroud | 01:13:26
Right.
Mike Burnick | 01:13:28
I've noticed several times that a signal will flash one day and the very same day sometimes or the next day the stock will jump three or four percent on something random like an analyst upgrade or just good news about AI in general or something like that, and you'll see the stock up three or four percent.
So, if the average gain that you're looking at is only four or five percent and the stock jumped four or five percent the second or third day, well, you may not want to jump on that trade, right?
Unless it's got a really big max gain. If it's got a 20% max gain, then maybe it still has room to run. But that's where you can exercise your own judgment based on the technical picture of the stock and other inputs that you can find on our TradeSmith platform.
Marina Stroud | 01:14:22
Yes, absolutely. So before we move on, I think the next topic we wanted to cover is the screener tool. Do you have some exciting things for the screener tool for us to cover?
Mike Burnick | 01:14:35
Yeah. I am the sultan of screeners. As Marina pointed earlier, I really like to use the screener tool because it incorporates all of the great TradeSmith data that we have on our platform. There are filters for almost everything. The one thing we haven't added yet is filters for signals yet, but I know our software development team is working on that, but I thought it would be fun to put together a quick screener where we can look at some stocks that actually have high marks from both the Signals and from Quantum Edge at the same time.
Marina Stroud | 01:15:00
Yes.
Yeah.
Mike Burnick | 01:15:15
Again, if there's some overlap there, it gives you maybe a higher conviction that it could be an interesting trade.
Marina, you were kind enough to put together a basket of recently of the signals, right? For the...
Marina Stroud | 01:15:28
I did on my other account, let's walk us through how to do it. So, yeah, we're on top signals and we have...
Mike Burnick | 01:15:32
That's even better. Yeah, I would use maybe Today's Signals so we get a bigger sample size.
Marina Stroud | 01:15:42
Yeah, let's... Well, from here, I don't know how many results I have here, but it looks like a lot more than twenty, so, yeah, we can do that.
Mike Burnick | 01:15:56
Yeah, and then you just click on that.
Marina Stroud | 01:15:57
So from... No worries, from either page, you can export the holdings.
Mike Burnick | 01:15:58
I'll let. I'll let you drive here. You know this better than I do.
Marina Stroud | 01:16:07
So I would hit export, all Today's Signals, which should be quite a bit. Okay, so I have it here. Here's my Excel spreadsheet. Okay, and from here, we're going to add it as a basket.
So how do we add this as a basket?
Mike Burnick | 01:16:28
How many signals are there, I wonder?
Marina Stroud | 01:16:28
So... Let's see.
Mike Burnick | 01:16:31
Quite a few.
Marina Stroud | 01:16:35
[Laughter] Yeah, over 500 probably.
Mike Burnick | 01:16:36
Yikes. That's good. That'll give us plenty to work on.
Marina Stroud | 01:16:42
I'm guessing about a thousand or more.
Mike Burnick | 01:16:44
Yeah, that's why this is such a great resource.
Marina Stroud | 01:16:45
Yeah, right.
Mike Burnick | 01:16:47
Obviously, the twenty top signals are the best of the best. Those are the elite signals that our algorithms say have the best combination of a strong accuracy rate and good upside potential.
But sometimes, especially for a screener type situation, it's worth looking at a wider universe because you never know what opportunities you may find.
Marina Stroud | 01:17:10
Exactly. So the next step, once we have it exported, we go to my portfolios. Let's go to Manage and we're going to click Add Portfolio and I'm going to upload a CSV file. From here we follow the steps.
So we'll click here to upload the file and we have to find it. So when I exported it went to my downloads. So I'll click the file, and you have to make sure it's a CSV file. I'll hit open. Look at that. There's... This is interesting.
So there's a limit on how many lines we can import. Okay, I'm glad we're discovering this together, so that's an easy fix.
Mike Burnick | 01:18:06
Okay, so I'll have to go back. Yeah, that's an easy fix, though. We'll just take the top. We'll take the top. Really? All we need is the top, say, 200 or so.
Marina Stroud | 01:18:18
Yeah, let me just delete some of these. Okay?
Mike Burnick | 01:18:25
There you go. So now we got the top 900, which is plenty.
Marina Stroud | 01:18:29
Let me see if it'll... Let me do it now.
Okay. There we go. So now we hit import and preview and there should be just some minor things that we need to do here. We're not going to... I just unclick this column header and we just need the tickers so it symbol and don't worry about anything else.
Mike Burnick | 01:18:53
Right?
Marina Stroud | 01:18:59
Come on.
All right, so some red errors, let's see, where did they go? Yeah, so when you have this many, it becomes a little bit tricky.
Mike Burnick | 01:19:20
Yeah, and there are some duplicate signals in there too, for stock, so...
Marina Stroud | 01:19:24
It won't... Yeah, it won't let me go past. Maybe I should have just started with the twenty? I can't even find the errors.
Mike Burnick | 01:19:35
I thought they're not... I don't see them there.
Marina Stroud | 01:19:36
There's one.
Mike Burnick | 01:19:37
That's a lot. We've got 980 rows here, so that's quite a bit.
Marina Stroud | 01:19:44
I'm just going to uncheck the ones that are showing an error. Okay, there we go. I'm going to hit next, and then we're going to save it as a basket signal, okay?
Then we have finish and import data. All right, so we have quite a few to work with.
Mike Burnick | 01:20:12
Well done, Marina. Very well done. Folks, if you're watching this at home, don't forget they'll be a replay so you could take notes.
But I'll tell you what. I've done this myself in my research, and trust me, if I can do it with my Excel skills, anybody can do it.
Marina Stroud | 01:20:31
Yeah, I know.
Mike Burnick | 01:20:33
Marina a Marina's a Pro. She makes it look easy, but you can do it.
Marina Stroud | 01:20:37
You know, I didn't rehearse this, folks.
Mike Burnick | 01:20:42
I put you on the spot and you came through.
Marina Stroud | 01:20:46
All right, so now we're on the screener tool, and we're going to look for... I'm going to pull up the basket, and then you can walk us through some of the other filters.
So then we'll...
Mike Burnick | 01:20:56
Yeah, we'll keep it.
Marina Stroud | 01:20:58
There we go. Today's six.
Mike Burnick | 01:20:59
We'll keep it simple from this point because I put you on the spot. So now what we've done here is we've added the TradeSmith basket today's signals, which of course, are the signals we just pulled down.
You could add any basket you wanted or you can add a portfolio or what have you... But let's cross-reference that by clicking on the plus edit filter column. We'll just cross-reference it with what we see from the Quantum Edge scores.
We'll click on that. Yeah, let's look for Quantum Score. And under the Quantum Score, let's say more than... What do you think, Marina? More than 70?
Marina Stroud | 01:21:37
Why not? Let's do 80.
Mike Burnick | 01:21:39
Yeah, more than 80. That's the top 20% by Quantum Scores, and then just run the screener and see what we get.
Marina Stroud | 01:21:46
Okay, very good. But we have 104 results, right?
Mike Burnick | 01:21:50
Not bad, because there were 900 odd stocks in there. Of course, there were some duplicate tickers as we know.
Marina Stroud | 01:21:56
Yes. Yeah.
Mike Burnick | 01:21:58
But still... Now this basically shows you how you can combine these. So all these stocks have an active signal, which means something has happened in the recent past on the stock that's flashed the signal that it's about to make a reversal move or maybe a continuation move. It can be a good or bad signal pattern.
Marina Stroud | 01:22:16
Right.
Mike Burnick | 01:22:19
And at the same time, all these stocks have superior quantum scores. And so at this point, you can, you know, you could sort by, let's say, quantum score to put the top quantum scores at the very top, you know, 98.8 is Dave.
Mike Burnick | 01:22:36
Is that Dave and Busters? I'm not sure what Dave is... It doesn't have a very high business quality though, so it's just Dave stock.
Marina Stroud | 01:22:38
I'm not sure either. Yeah, Dave is... It's just... Let's see, Dave provides various financial products and services through its financial services platform in the US. Okay, whoa there go... Nice.
Blake | 01:22:57
Financial technology company.
Mike Burnick | 01:22:59
Aha, that's why it makes a list. It's AI now.
Marina Stroud | 01:23:04
Okay, it is.
Mike Burnick | 01:23:05
Everything is AI now, even Dave. But if you go down to the next one on the list, Catalyst Pharmaceutical, that does have a high business quality score of 86. I always like to see that.
Has a very high Quantum Score of 90.82, and we have an active signal on it as well. So this is just a very simple example of how you can combine the different TradeSmith analytics and indicators that we have, all of them proven in their own right, but to create a pattern or a mosaic that hey, this piece fits very well with this piece too.
Marina Stroud | 01:23:26
Right.
Mike Burnick | 01:23:47
So that gives you a higher conviction that Catalyst Pharma and maybe as a stock, I want to take a closer look at.
Marina Stroud | 01:23:53
Yes, absolutely. What about? What if? What about incorporating the health indicator?
Mike Burnick | 01:24:00
Yeah, you could certainly do that. I like our new short-term health again, I mentioned at the top of the call. But it's worth repeating that short-term health looks at the trend in the volatility of the stock over a period of about a year or so, whereas our long-term goes from one to three years.
So I found that if you're more of an active trader, which I confess that I am, it's sometimes good to use the short-term health.
Marina Stroud | 01:24:28
Right.
Mike Burnick | 01:24:29
Ideally, you want to see a stock that is in the short-term and the long-term green zone.
But for our purposes, let's use short-term health green zone and just filter by that and see. Yeah, reduced it by a few down to 97.
Marina Stroud | 01:24:41
Night said. Yeah, there, yeah, we've come full circle.
Mike Burnick | 01:24:44
Look, Nvidia made the cut. That's the stock we started with in Nvidia's everywhere these days.
Marina Stroud | 01:24:53
It is. Alan is asking how I move the columns left or right.
Mike Burnick | 01:25:01
No.
Marina Stroud | 01:25:01
So from here I'm on the default view.
Mike Burnick | 01:25:01
You're a pro at Emory. I'll leave that to you.
Marina Stroud | 01:25:07
So if you want to edit the columns, you can click the little white edit pencil on any active view, and you can enable or disable anything with a green checkmark. Anything with a green checkmark is a column header below.
So if I scroll down, I can move things around. So if I want to move Quantum Score, I can left-click with my mouse and hold it. Then I drag it, and you see the little white ghost box. Then I can move it and drop it in between two columns.
So left-click, hold, and drag it to wherever you want it, and let it go in between two columns. Then don't forget to hit Save.
Mike Burnick | 01:25:49
Yeah, that's what I always forget.
Marina Stroud | 01:25:52
[Laughter] I do too.
Mike Burnick | 01:25:52
And then. And then my columns don't move and I'm wondering why.
Marina Stroud | 01:25:59
Another thing too, Mike, that's new is this options filter. I get a kick out of this "options available only."
Mike Burnick | 01:26:08
I do. I like this.
Marina Stroud | 01:26:11
So yeah.
Mike Burnick | 01:26:11
This was one of my suggestion box entries for inclusion in the screen. But yeah, if you're looking at a stock and you know you're a frequent option trader, you know you like to...
Instead of buying a stock like, let's say you know Google at $350 a share these days, you just want to buy an option on it. You click this box for option availability to limit your universe to just stocks that have options.
Marina Stroud | 01:26:38
Now we go right, yeah, exactly.
Mike Burnick | 01:26:38
That reduces it a little further. Of course, Nvidia Google, all the ones at the top do have options.
Marina Stroud | 01:26:47
Well, and then from here, folks, if you want to save your filters, you can click Save and then save it as a screener. You can do that with your results. You can create another basket or a portfolio.
I mean, you can export it, print it out. So there are a lot of things you can do to retain the information. I think we are at the top of the hour. We should probably get our Q&A going. [Laughter] Yes, okay, sounds good.
Disclaimer: The responses provided during this live Q&A session are unscripted and may contain grammatical errors or minor inaccuracies. Our focus is on delivering real-time insights and valuable information, and we appreciate your understanding as we prioritize engagement over polished delivery.
Mike Burnick | 01:27:19
Yeah, for sure. Because I actually have to run to another meeting at 2:30. But we have time for a few questions for sure.
Marina Stroud | 01:27:27
I'm back on camera if you want to join me, Mike. Let's see what we have here.
Mike Burnick | 01:27:30
Yes, since I figured out where that button is, here it is. Here we are.
Marina Stroud | 01:27:40
Okay. We probably won't be able to get to all of the questions, folks, but don't worry. I'm going to scan back through, and I will be reaching out to you and answering any questions that we miss, so don't you worry. I'd like to try to keep some of these questions on today's session. Brian is asking, "Is it possible to move the columns if you want them in a different order?" We got that one already covered. Let's see... Bear with me. I'm just scrolling down.
Mike Burnick | 01:28:13
You can add and delete columns as Marina showed just by clicking or checking or unchecking a particular box.
Marina Stroud | 01:28:17
Yes, exactly.
Mike Burnick | 01:28:21
So add your favorite column. Save it as a view with maybe your initials.
That's what I did. And B view. That way you'll have your favorite view. You'll find that you want to change it over time as well.
Marina Stroud | 01:28:35
Yes, absolutely. Doug is asking, "Can you change the signal outlook to Bearish so you can, in today's signals, you can go Bearish?" I'm not sure if we're going to get anything.
Mike Burnick | 01:28:53
Does it apply?
Marina Stroud | 01:28:53
I wonder how the to...
Mike Burnick | 01:28:55
Nope, none of those are today's SS. Yeah, we got to get rid of them.
Marina Stroud | 01:28:58
I wonder if I would have to remove some of these filters because it doesn't look like we have any Bearish signals at this moment.
Mike Burnick | 01:29:02
Yeah, you've got a market cap filter that...
Marina Stroud | 01:29:11
Market cap. Let me uncheck that, too.
Mike Burnick | 01:29:14
That probably didn't eliminate too much, though. Well, there are a few.
Marina Stroud | 01:29:16
Okay, there are three.
Mike Burnick | 01:29:18
Yeah, more smaller-cap stocks. What do we have there? Is that Circuit City? I don't know what that is. Ingram Micro, that's a tech stock.
Marina Stroud | 01:29:29
Yeah, I'm not sure.
Mike Burnick | 01:29:29
But yeah, we do have bullish and bearish signal studies both, so you can use it either way for long ideas or short.
Marina Stroud | 01:29:39
Yes, NA is asking when the same stock shows up day after day, which alert should I follow? Should I cancel the earlier alert signal?
Mike Burnick | 01:29:54
That's a good question. Usually, you do see stocks on the list, for instance, on the Top 20 list, for usually several days, right?
Usually, it's best to go with the initial signal. I personally like to look at the Top 20 list every morning and just see what's there.
Marina Stroud | 01:30:12
Yes.
Mike Burnick | 01:30:14
You know, at a glance, there's only twenty entries. At a glance, you can usually tell which are new. And then, you know, I'll.
Marina Stroud | 01:30:20
Right.
Mike Burnick | 01:30:22
I'll set alerts or take a closer look at the particular stock that's new.
Then, as far as all signals go, what I'll usually do with that column is look at it a couple of times a week and oftentimes just download the data. As Marina showed you how to do so that I can filter it out. There are obviously hundreds and hundreds of stocks out there. Sometimes you'll get signals on smaller-cap stocks or on stocks where there aren't many past occurrences, and generally, I'll filter some of those out because they haven't happened much in the past. Or they happen to be small stocks which are maybe difficult to trade or don't trade options.
Marina Stroud | 01:31:07
Exactly. Nina, keep in mind too that the signals are going to change every day. So you may see Nokia again tomorrow but is it going to be the same entry and exit rule? Most definitely not.
So these will change every day.
Mike Burnick | 01:31:24
That's right.
Marina Stroud | 01:31:24
The signals are going to change every day. Even if you have the same stock, it's not the same entry exit criteria. So if you got in today on Nokia and you follow... So you set the alert, make sure you don't forget because a lot of folks we forget, we get excited, we place the trade, and then we forget to set this alert. Next day you might see Nokia, but it might not be the same from what you did the other day.
It's a different signal.
Mike Burnick | 01:31:55
Yeah, that's a great habit to get into.
Marina Stroud | 01:31:56
And so I did.
Mike Burnick | 01:31:58
I learned that the hard way. By buying stocks in my trading account and then not forgetting to set a protective stop.
So now you know what I do now to rid myself of that bad habit. I set a stock first on a stock before you even enter the trade.
Marina Stroud | 01:32:13
No, okay, that's good.
Mike Burnick | 01:32:15
That's the first thing I do. Then if you set the stop and the stop gets triggered before you have a chance to log in on a fidelity and place your trade, then it saves you some money.
Marina Stroud | 01:32:28
Yeah, exactly.
Mike Burnick | 01:32:30
That doesn't happen often, fortunately.
Marina Stroud | 01:32:33
Yes, Alan is asking about outliers. So think that's something that's coming. Let me click on Nokia and you have today's outliers. So we don't have any outliers for Nokia, but today's outliers. I don't... I don't know much about this, Mike, but it seems a little bit more risky. These are...
Well, as outliers one.
Mike Burnick | 01:33:06
Yeah, there's none there to look at today. But yeah, those are generally trades that maybe don't have as long of a history. There's not a lot of occurrences, or they just tend not to recur with the same level of conviction that you would see in some of our top trades, for example.
Marina Stroud | 01:33:22
Right? Yeah, I just... See, I wouldn't utilize this feature just because I'm more... I just want all the odds in my favor, and I'm not going to go off of an outlier.
Mike Burnick | 01:33:37
Yeah.
Marina Stroud | 01:33:40
But it is there for anyone that wants to, you know.
Mike Burnick | 01:33:46
Yes, that's the way I approach it as well. That's why I'm attracted to signals on stocks like Nokia and Broadcom. We saw there. There are a few others. ACMAI Technologies is another one there.
They all have over 200 past occurrences. So you just have a bigger universe of past trades there that have informed our rules like the max gain and the average gain as well as, of course, the all-important quality score and the accuracy rate, which is what I pay most attention to.
So I tend to go... Yeah, with a higher frequency trading opportunities where, as you said, the odds should be stacked more in your favor.
Marina Stroud | 01:34:31
Yes. Armando is asking if those are trading days or calendar days? So I'm not sure if you're referring to these columns here, Armando, I believe these are in calendar days.
Mike Burnick | 01:34:47
Yeah, I think they were in calendar days when our software team put it together. So you got to allow weekends and holidays in there as well, right?
Marina Stroud | 01:34:56
Right, but the alerts are set for trading days. The alerts are in trading days. All right, let's see.
Just to confirm. Number of days is only trading days. Number of days. Here we have calendar days, but the alerts are set up as trading days.
Mike Burnick | 01:35:27
Right. So you got to do some pretty simple conversion there.
Marina Stroud | 01:35:34
Some questions on the new Tactical Profits portfolio. I don't have information on that, but I can follow up with you on that. I may not have access to it in this subscription.
So...
Blake | 01:35:53
It'll be under the Louis Navellier StockGrader widget if you have access to that dashboard.
Marina Stroud | 01:35:54
Or. Okay. And I don't have access to it in this account.
Blake | 01:35:59
Yeah.
Mike Burnick | 01:36:02
That would be another webinar for another day as well.
Marina Stroud | 01:36:05
I got to buy Louis Navellier subscription. I'm not subscribed, folks. Sorry.
Mike Burnick | 01:36:15
You gotta show Louis a little love. C'mon, he's an icon in this business.
Marina Stroud | 01:36:17
I know. I think I have it in my personal account, but I don't have it set up in the demo account, so...
But if you have specific questions, put them in the chat and we'll go back through. Those of you that have questions on the Louis Navellier system, we can maybe do an editorial mail bag or somebody can reach out and answer those questions for you, okay?
Alright.
Blake | 01:36:51
Marina, could you hover over the entry and exit rules real quick?
Marina Stroud | 01:36:55
Yes.
Blake | 01:36:56
Cool, that'll answer Mary's question. What does X 101 mean?
Marina Stroud | 01:37:02
Okay, yes, so...
Mike Burnick | 01:37:04
Well, that's top secret. Mary, we could tell you. But then you know now that that's just a silly code that they... Our software developers gave to each of these entry and exit signals there has to be a way to differentiate them.
Marina Stroud | 01:37:14
Right, yes, right.
Mike Burnick | 01:37:18
So they just chose the letter number combination. Again, if you go to the if you go to the master playbook, the rule playbook there, it actually has a section that goes through all of the different entry and exit rules by number. There you go.
So you can see x three zero one right there and read all about it.
Marina Stroud | 01:37:38
Yeah.
Mike Burnick | 01:37:38
Frequently, I do. This is a great resource. As I said before, if I see a signal on a stock that looks attractive and I'm not quite familiar with what the entry and exit rule is, I'll come right here to the master guide and look it up. Just as a quick refresher before I consider placing the trade.
So...
Marina Stroud | 01:37:58
Exactly. Let's see... There are a lot of questions... I have to bail out... Okay, no problem, Richard. What does machine learning mean? This is a good one, so let's see if it's under categories. There it is. Machine learning signal uses quantitative models trained on historical data to detect complex patterns.
Mike Burnick | 01:38:19
There it is.
Marina Stroud | 01:38:28
There you have it.
So all of these categories are defined, and you can find them under the rulebook and then go to the definitions tab.
Mike Burnick | 01:38:37
Again, another shameless plug for the rulebook, but that's a great resource that our team put together, really led by Michael Carr. Just amazing. The depth and breadth of different signals that they reviewed, and that's great because it gives you so many more opportunities than just looking at, let's say, an RSI signal alone and nothing but that. You know?
Marina Stroud | 01:39:02
Here's a question from Alan that I'm not sure I understand. Mike, I occasionally am warned about incurring a good faith violation on Fidelity because a signals trade has not yet cleared before I'm told to close it. Advice? I'm not sure what that means.
Mike Burnick | 01:39:23
Yeah, that's like an active trading alert. A lot of brokers actually have. You know, it's basically an effort to flag what they call pattern day traders, which I guess got a bad rap back in the day.
Mike Burnick | 01:39:40
But the good news is that most brokerage firms should be moving away from that because the SEC and FINRA just did away with that pattern trading rule regulations from what I read. And so that shouldn't be as much of a concern going forward.
But basically if you buy a stock and then you turn on and sell the stock again before the trade the buy purchase trade even settles, that can trigger a red flag with some brokers that you're engaging in active day trading is all that means.
Marina Stroud | 01:40:12
I see.
Mike Burnick | 01:40:13
But hopefully, it's going away based on what I read about new rule changes from the regulators.
Marina Stroud | 01:40:13
Okay, so a couple of comments. Jerry found us an outlier ticker, SNDK, Sandisk.
Mike Burnick | 01:40:31
SanDisk. Yeah. Surprised?
Marina Stroud | 01:40:32
Yeah, and John has a feature request that it's clunky to check for outliers by this Hunt and Peck method.
Mike Burnick | 01:40:32
That's an outlier. It's been around for a long time.
Marina Stroud | 01:40:45
The method can be...
Maybe we can identify outliers on a daily basis. That's a really good suggestion.
Mike Burnick | 01:40:52
Yeah, right.
Marina Stroud | 01:40:53
I'll pass that along to our product team.
Mike Burnick | 01:40:57
We'll have to drop that in the suggestion box, the virtual suggestion box, so you can see at a glance why this is an outlier.
Marina Stroud | 01:41:05
Exactly.
Mike Burnick | 01:41:09
The average holding time is only one day.
So it's a very short-term trade.
Marina Stroud | 01:41:14
Yeah.
Mike Burnick | 01:41:17
Obviously, it does have a 100% accuracy rate, but I'm not sure. Is that based on only one trade? You can see further down as you scroll.
Marina Stroud | 01:41:24
Right, look, there it is.
Mike Burnick | 01:41:27
Yeah, you can see that on the lonely, very lonely scatter plot diagram. There's only one bubble there, which happened to be a good one, so I won't take it away from anything, but that's what we mean by a signal that doesn't have a long lot of track record.
Marina Stroud | 01:41:39
I know. Yeah, right.
Mike Burnick | 01:41:45
It's an outlier. It doesn't mean there won't be good. It just means that there's not a lot of past history to go on.
Marina Stroud | 01:41:54
Yeah, Charles says, "I thought an outlier trade was an exceptional trade, a more rare setup. It is definitely rare, as you can see here." Except, I don't know, Charles, I don't look at the outliers. I look at the top signals. I want more odds in my favor, and so this doesn't give me the warm and fuzzies, right?
Mike Burnick | 01:42:24
Yeah, you know, some folks like to see some of the outlier trades. Maybe not with a history of only one, but sometimes there might be more. And it could be a favorite stock or it could be the type of, you know, trading pattern signal that you happen to like.
So that's the reason we added outliers. But I agree with you, Marina. I like more. More? Data is better. As far as I'm concerned.
Marina Stroud | 01:42:49
Yeah, exactly. So, Jim, I feel your pain. Comment. Several of my trades hit signals intraday alert before market open, then the price falls, before I can exit.
I know it's an aggravation, and that's why I set up the cell limit order to get me out at the trading goal. But some of these don't have a trading goal or target price. So if we look at the alerts that we've set up, like Nokia has a trading goal that's our profit target.
Marina Stroud | 01:43:28
So I can set this up as a sell limit order so that if the price hits this mark intraday, I'm... I'm immediately filled. I don't have to wait till the next day and discover that prices dropped. But some of these... I don't know how you would set an alert for these.
So unfortunately, with some of these, you just have to right exactly.
Mike Burnick | 01:43:48
Yeah, because they're not price-based. They're two-day RSI above 90. So that's something you could either monitor using TradeSmith yourself, or you could... There may be a way to set an alert for RSI, in fact, I think there is, but it's probably more complicated than just keeping an eye on that particular stock for when the RSI gets close to the target.
By the time you hit the alert set, it's probably already above 90 RSI.
Marina Stroud | 01:44:24
Let's see, what's the difference between a basket and a portfolio? This is such a good question, and it's... It's hard. It's a little complicated to explain, but I have a way to explain it.
So, a portfolio is like a house that doesn't move. It's got solid structure, it can't move.
Mike Burnick | 01:44:50
And the basket is more like an RV.
Marina Stroud | 01:44:51
Yes, a basket is like an RV, so the portfolio the house can hold more junk, yes.
Marina Stroud | 01:45:04
So if you have a portfolio, even if it's a watch-only portfolio, okay, whatever a watch portfolio that you're tracking, you can actually track performance on any portfolio. You can set up alerts, but you cannot with a basket.
So a basket is meant... It's a collection of tickers that you're tracking based on whatever criteria or category that you set. We created a signals basket. The idea for the basket is to be able to implement them into tools like the screener tool as sources.
So if you want to track if you want to create a watchlist portfolio and track the performance of a set number of tickers over the next three or six months, you have to set up a portfolio if...
Mike Burnick | 01:46:06
Right, that's a great explanation, and I like the analogy between your MCMANSION versus a Winnebago, that's a great comparison.
Marina Stroud | 01:46:14
Yeah, exactly.
Mike Burnick | 01:46:19
Yeah. The transcript that needs to be edited is as follows: The portfolio. The main difference, as you pointed out, is the portfolio. You can track performance and continue to run different screeners on it with the stocks that are there. Whereas a basket, for example, the signals basket we just created today will be out of
Marina Stroud | 01:46:32
Yes.
Mike Burnick | 01:46:38
It'll be out of sync by tomorrow, right?
And it'll be. You'll have to create a new one.
Marina Stroud | 01:46:41
Right, you'll have to create a new one.
Mike Burnick | 01:46:42
So the Winnebago don't...
Marina Stroud | 01:46:44
Exactly, that's a good point. I'm glad you brought it up. It's going to need gas up every day.
Mike Burnick | 01:46:46
The Winnebago doesn't move very far down the road. Sometimes it takes a lot of gas, and gas is expensive these days.
Marina Stroud | 01:46:57
Exactly. Armando is asking what is the difference between TradeSmith Alpha signals
and... I just so happened to have this because I figured it would come up, so I'll read it out. While both products leverage quantitative signals and identify trading opportunities, they differ significantly in how those signals are applied and delivered.
So TradeSmith Alpha Signals combines proprietary signals with analyst expertise and human judgment. So Lucas reviews multiple signal types and evaluates them. Whereas Signals by TradeSmith is a fully rules-based platform with no human intervention, TradeSmith opportunities are generated and managed entirely by predefined entry and exit rules.
I will... There's more to this, but I will copy and paste and put this in our Q&A section. I think that's a really good one to keep in mind.
Mike Burnick | 01:48:03
Yeah, that's a good differentiator. Basically, with Alpha Signals, you're getting an extra layer of Lucas Downey vetting each trade, checking them out each signal trade, and then recommending it.
It's very similar to what Lucas does in the Quantum Edge Pro Newsletter portfolio. You can either do it yourself and look up a Quantum Score on a particular stock and decide you'll like that stock with a high Quantum score.
But it may not be recommended in the Quantum Edge Pro portfolio. So it's...
Marina Stroud | 01:48:35
Right. I'm noticing some additional questions regarding outliers.
Mike Burnick | 01:48:36
It's do it yourself versus, you know, having an extra layer of oversight from Lucas that he provides.
Marina Stroud | 01:48:50
Alan is saying I thought outliers were not dangerous trades, but a hundred percent certain trades that just don't happen that often. Rare, but really good.
And so.
Mike Burnick | 01:48:59
Yeah. I don't say they're dangerous, but there's just not a lot of data behind them. They don't happen very often, as he said. That doesn't make them inherently dangerous, just means we don't have a lot of historical data to go on.
Marina Stroud | 01:49:13
Right. So I think your definition, Alan, is correct. It just depends on your personality and what kind of trade style you go with.
Marina Stroud | 01:49:28
I prefer more signals or more occurrences. For me, a more risk-averse...
So for me, I wouldn't follow outliers, but that doesn't mean that they're not going to be good. They are.
Mike Burnick | 01:49:47
Yeah, and that's right, and that's the reason we do provide, you know, the outliers' tab.
Mike Burnick | 01:49:53
So if you gravitate towards, you know, those types of trades, you can certainly, you know, find them.
Marina Stroud | 01:49:59
Yes, exactly.
Marina Stroud | 01:50:04
Okay, so we got a lot of folks asking about the Stock Grader. The Stock Grader is going to be on your dashboard, so just go to your dashboard and scroll down until you bump into it. Let me...
You know what? There's enough people that are asking, "Let me log into my account." By the way, another new feature is this magic link.
Mike Burnick | 01:50:27
Magic. It's magic.
Marina Stroud | 01:50:29
Yeah, so you don't have to remember your password. You just hit this magic link, and then you type in your email address associated with the account, and then it'll email you the magic link, and then you log in without a password.
So in case anyone forgets their password...
Mike Burnick | 01:50:50
I do all the time.
Marina Stroud | 01:50:51
Yeah, so let's see where it is. There's signals, pardon the bottom, I think the platinum members... There are a lot of widgets with... There's earnings, season, pass, social, here's the Louis Navellier stock grader.
Mike Burnick | 01:50:56
I think it's down towards the bottom of the page, isn't it? I think so.
Near it's just not greater, right?
Marina Stroud | 01:51:14
There it is.
Okay, so...
Mike Burnick | 01:51:15
Yes, this is a great resource, which Louis has kindly agreed to share with us here on our website for our members.
You know, apply to members have full access, and folks that actually get Louis's other services can get access to this.
Marina Stroud | 01:51:23
There it is.
Mike Burnick | 01:51:31
And you can see at a glance that his usual total grade is quantum grade fundamental grade on every stock in the list. Or you can look up individual stocks to see what the grade is.
Marina Stroud | 01:51:43
Right? And, yeah, I think folks were asking about the top fusion list to implement the Tactical Profits portfolio strategy. Click here to check out the user guide. So if we click this little link, it takes us to the Tactical Profits Portfolio User guide.
Mike Burnick | 01:52:06
That's a mouthful again, more bedtime reading for you.
Marina Stroud | 01:52:08
My goodness, more bedtime reading.
Mike Burnick | 01:52:10
But this is a great resource, just like for the Signals Portfolio Master guidebook, because you really have to have a good understanding of what's behind each strategy before you start trading it.
Learn before you learn.
Marina Stroud | 01:52:25
Right? Exactly. You got to learn before you can... Learn before you... Exactly. Okay, there's the top fusion list. So hopefully, we answered questions just by pulling up this widget.
Mike Burnick | 01:52:42
That's how you access asset. And by all means read that guide before you sort of get started with it.
Marina Stroud | 01:52:48
Yeah, and you have to have a subscription, so I don't know if, I don't know about the subscription level. I had to request this be added, so I don't know if it's automatically provided to Platinum members.
Mike Burnick | 01:53:09
I'm not sure either. You may have to... If you have any trouble though, you can always contact our customer care team, and they can help you out with that.
Marina Stroud | 01:53:15
Yeah, if you have a Platinum account and you don't see it... Jim says it's not included in Platinum. Yeah. Any other Platinum members that can confirm this? If you go to... Do you have access to the widget at all? Jim or is it just the top fusion list?
Because I thought that... No, I'm Platinum, and I don't have it. Okay? No access to the widget. Okay? So you have to have a Louis Navellier stock grader subscription to be able to see this.
Mike Burnick | 01:53:51
Nine.
Marina Stroud | 01:53:54
Okay, let me pull up the contact us slide, and let me make sure you can see.
- Customer Support:
- 1-866-385-2076
- [email protected]
- Plan Specialists:
- 1-800-211-8563
- [email protected]
- Education Team:
- Senior Analyst Mike Brunick and his team:
Mike Burnick | 01:54:01
No, where it is.
Marina Stroud | 01:54:08
All right? So if you have any questions, don't hesitate to reach out to Mike Burnick. That's why I put your email right on the side there. Email [email protected]. You can't forget that.
Mike Burnick | 01:54:26
Where's your email? Marina, I don't see you.
Marina Stroud | 01:54:27
It's not there.
Mike Burnick | 01:54:29
I see that the customer support email is always good if you can't get a hold of me too.
Marina Stroud | 01:54:37
But I will definitely review our chat from today and answer any questions that we missed. So I think that's all we have for today, folks. Thank you so much for joining us, Mike.
It's a pleasure as usual. Blake. Thanks for helping us out today.
Mike Burnick | 01:54:58
Yeah, thank you, everybody, for joining us as well. It's always fun to share this information and hear your feedback.
Marina Stroud | 01:55:07
Absolutely. All right, folks. Well, you have a great rest of your day. We'll see you on the next run, guys.
Mike Burnick | 01:55:13
See you next time, folks. Bye.
Follow-Up Questions:
Which system is more reliable, Signals or Predictive Alpha?
Great question—especially when you’re using both tools.
Signals and Predictive Alpha are built on similar AI foundations, but they’re designed to answer slightly different questions, which is why you may occasionally see different outcomes.
- Predictive Alpha is optimized to provide a specific forecast, including a projected price and date.
- Signals, on the other hand, is designed to identify high-probability trade opportunities, with more emphasis on the direction of a move (bullish or bearish) rather than a precise target.
Because they use different algorithms to interpret market conditions, they won’t always align perfectly—and that’s expected.
A helpful way to think about using them together is as a confirmation tool:
- If both Signals and Predictive Alpha are pointing in the same direction (e.g., bullish), that can add confidence to the setup.
- If they disagree, look for another opportunity.
At this time, we don’t have formal testing on combining the two systems into a single strategy, so it really comes down to how you prefer to incorporate them into your decision-making process.
What is the difference between Signals and Alpha Signals?
While both products leverage quantitative signals to identify trading opportunities, they differ significantly in how those signals are applied and delivered to users.
TradeSmith Alpha Signals combines proprietary signals with analyst expertise and human judgment. Lucas reviews multiple signal types, evaluates the highest-potential opportunities, and applies discretion when determining entries, exits, and overall trade selection. As a result, Alpha Signals is highly selective, often generating only a handful of recommendations each month. The experience is guided and analyst-driven, with subscribers following curated trade ideas that include additional context and interpretation.
Signals by TradeSmith, on the other hand, is a fully rules-based platform with no human intervention. Trade opportunities are generated and managed entirely by predefined entry and exit rules, producing a much higher volume of signals—ranging from daily opportunities to potentially thousands of qualifying setups over time. The platform focuses on shorter-term trades, typically lasting from several days to about a month, and empowers users to create their own investing journey by filtering, ranking, and selecting signals based on metrics such as accuracy, quality scores, and historical performance.
In short, Alpha Signals delivers a curated, analyst-guided experience built on both signals and human judgment, while Signals provides a high-volume, data-driven platform that puts signal discovery, filtering, and decision-making directly in the hands of the user.
