{"id":21308,"date":"2023-10-26T07:30:54","date_gmt":"2023-10-26T11:30:54","guid":{"rendered":"https:\/\/www.jeffclarktrader.com\/?p=21308"},"modified":"2023-10-26T07:30:54","modified_gmt":"2023-10-26T11:30:54","slug":"unlock-the-power-of-predictive-analytics-for-smarter-trading","status":"publish","type":"post","link":"https:\/\/jeffclarktrader.com\/market-minute\/unlock-the-power-of-predictive-analytics-for-smarter-trading\/","title":{"rendered":"Unlock the Power of Predictive Analytics for Smarter Trading"},"content":{"rendered":"<p><strong>Jeff&rsquo;s note:<\/strong> Today, we&rsquo;re hearing from our newest analyst, Brad Hoppmann. Brad is an algorithmic trader who specializes in predictive analysis. It&rsquo;s a computer-based method of looking at millions of points of data to pinpoint the market&rsquo;s next move.<\/p>\n<p>Brad&rsquo;s traded the markets for over 30 years. Most notably, he has worked at many of the top publishers with legends like Louis Navellier, Jim Cramer, Porter Stansberry, and Steven Sjuggerud.<\/p>\n<p>These days he produces trading algos for his boutique research firm, creating strategies that thrive in multiple market scenarios. Now, he&rsquo;s bringing his knowledge and insights from his analysis to <em>Market Minute<\/em>&hellip; So, stay tuned every Thursday for a new essay from Brad.<\/p>\n<p>Today he shares how you can use predictive analytics to become a better trader&hellip;<\/p>\n<hr style=\"margin-bottom:20px;\">\n<p>Today, I&rsquo;ll explain one of the most powerful tools in finance.<\/p>\n<p>It&rsquo;s one I&rsquo;ve used for over 20 years both professionally and for my own trading.<\/p>\n<p>Put simply, it&rsquo;s about using statistics to forecast the future. And it can uncover insights and opportunities that even the experts can miss.<\/p>\n<p>Leading hedge funds have used these strategies to make billions:<\/p>\n<ul>\n<li>\n<p>Renaissance Technologies&#8217; secret Medallion fund gained 66% annual returns over 30 years. That would turn an initial $100,000 investment into over $75 billion.<\/p>\n<\/li>\n<li>\n<p>Two Sigma produced 37% returns during the 2020 COVID crash. They now manage over $60 billion.<\/p>\n<\/li>\n<li>\n<p>D.E. Shaw uses data models to find market inefficiencies. Founder David Shaw is worth around $7.3 billion.<\/p>\n<\/li>\n<li>\n<p>Bridgewater Associates &#8216;Pure Alpha&#8217; method has made over $46 billion since starting.<\/p>\n<\/li>\n<\/ul>\n<p>The great news is that it isn&rsquo;t just big hedge funds that can use this strategy.<\/p>\n<p>Regular folks can too. It&rsquo;s called <em>predictive analytics<\/em>.<\/p>\n<p>Trading with predictive analytics can be very profitable. But like most things in the investment world, Wall Street has kept it a secret from you.<\/p>\n<p>My goal is to change that.<\/p>\n<p>See, I&rsquo;ve been developing &ldquo;predictive&rdquo; models since before most people knew what an algorithm was.<\/p>\n<p>Over the years, I&rsquo;ve built various models using costly software and computers that most investors can&rsquo;t access. I&#8217;ve worked closely with teams of mathematicians, data scientists, and programmers. They&rsquo;ve helped me develop institutional-level data models for different scenarios.<\/p>\n<p>Using what I&rsquo;ve learned, I can now analyze millions of data points in less than a minute to find actionable trades.<\/p>\n<p>My latest algorithm called &ldquo;SPY Hopper&rdquo; scans the S&amp;P 500 to determine which areas of the market will benefit from the movement of money and predicts &ldquo;hops&rdquo; upward.<\/p>\n<p>The algorithm looks at 10,299,341 data points and pinpoints where the money will flow.<\/p>\n<p>Here&rsquo;s a chart of how it has performed since 2019:<\/p>\n<p><!--IMG SNIP--><\/p>\n<p style=\"margin-bottom: 20px\" align=\"center\"><img decoding=\"async\" class=\"img-fluid\" alt=\"Image\" src=\"https:\/\/cdn.jeffclarktrader.com\/JMU\/images\/202310\/20231026-JMU-01.png\"><\/p>\n<p>The top half of this chart represents the account balance over time &ndash; with candlesticks highlighting where the account closed lower (red) or higher (green). The bottom half of the chart represents how much money was made or lost during that month.<\/p>\n<p>So, if you started with a $100,000 portfolio, you would now have $241,147, or a 141% gain just trading ETFs.<\/p>\n<p>Now I want to make this powerful technology available to regular investors like you. The big guys have had this advantage for too long.<\/p>\n<p>Each week my models will sort through the data to find high-probability trading ideas. We&rsquo;ll use this to identify potential entry and exit points for trading opportunities right here in <em>Market Minute<\/em>.<\/p>\n<p>For example, by analyzing historical price data, news events, earnings reports, SEC filings, alternative data feeds and more, my models can &ldquo;predict&rdquo; short-term price movements across stocks, futures, and options.<\/p>\n<p><!--GREY BOX START--><\/p>\n<div class=\"card bg-light mb-4\">\n<div class=\"card-body\">\n<p align=\"center\" style=\"font-size: 18px;\"><strong>Free Trading Resources<\/strong><\/p>\n<p>Have you checked out Jeff&#8217;s free trading resources on his website? It contains a selection of special reports, training videos, and a full trading glossary to help kickstart your trading career \u2013 at zero cost to you. Just <a href=\"https:\/\/www.jeffclarktrader.com\/\" target=\"_blank\" rel=\"noopener\">click here<\/a> to check it out.<\/p>\n<\/p><\/div>\n<\/div>\n<p><!--GREY BOX END--><\/p>\n<p>This provides you with the same advantages that large firms pay millions to access.<\/p>\n<p>The way I look at it is like this: let the algorithms collect and analyze the data around the clock&hellip; then use it to &ldquo;predict&rdquo; where the best and most profitable trading opportunities are. Meanwhile, you will be free to focus on living life.<\/p>\n<p>Sounds like a good trade-off, right?<\/p>\n<p>Stay tuned over the coming weeks. You&rsquo;ll learn how predictive analytics can improve your trading and investing returns. The potential is limitless!<\/p>\n<p>Leveraging data for you,<\/p>\n<p>Brad Hoppman<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Today, I\u2019ll explain one of the most powerful tools in finance. <\/p>\n","protected":false},"author":55,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"ep_exclude_from_search":false,"service":"","footnotes":""},"categories":[1],"tags":[],"publication":[10],"person":[97],"newsletter-type":[],"ticker":[],"class_list":["post-21308","post","type-post","status-publish","format-standard","hentry","category-market-minute","publication-market-minute","person-brad-hoppmann"],"acf":[],"ai_tts_audio_outdated":false,"ai_tts_legacy_post":false,"_links":{"self":[{"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/posts\/21308","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/users\/55"}],"replies":[{"embeddable":true,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/comments?post=21308"}],"version-history":[{"count":0,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/posts\/21308\/revisions"}],"wp:attachment":[{"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/media?parent=21308"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/categories?post=21308"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/tags?post=21308"},{"taxonomy":"publication","embeddable":true,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/publication?post=21308"},{"taxonomy":"person","embeddable":true,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/person?post=21308"},{"taxonomy":"newsletter-type","embeddable":true,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/newsletter-type?post=21308"},{"taxonomy":"ticker","embeddable":true,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/ticker?post=21308"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}