Using data analysis to identify potential trading opportunities in GILE, MCD, and DJT
From Yahoo Finance: 2025-06-28 10:15:00
Investment market analysis often relies on presuppositional fallacies, where metrics like share price or valuation ratios are assumed to be predictive without validation. To combat this, using conditional probabilities and converting data into market breadth can provide a more empirical basis for predicting market movements. This approach allows for categorization and quantification of market behavior, increasing the probability of making informed investment decisions.
By converting price data into market breadth, all publicly traded securities can be analyzed using the same language, allowing for easier comparison and sorting based on probability of upside. The Saturday Spread focuses on actively traded stocks statistically offering higher-than-average odds for bullish speculators, using past analogs to calculate probabilistic analysis and inform potential investment strategies.
Analyzing biopharmaceutical giant Gilead Sciences (GILD) reveals a 4-6-U sequence, indicating a 69.23% chance of upside in the following week’s price action. With a potential 16.13% long-side delta over the baseline, utilizing a debit-based strategy could lead to significant gains in the stock price within two to three weeks, making it an enticing trade opportunity.
Fast-food icon McDonald’s (MCD) presents a 3-7-D sequence, suggesting a 68.75% chance of upside in the following week’s price action. With a baseline profitability chance of 56.64% for long positions, the 3-7-D sequence adds 12.11 percentage points of favorable odds for bullish speculators, potentially leading to a rise in stock price to around $304.70 in the next two to three weeks.
Trump Media & Technology (DJT) displays a 2-8-D sequence, indicating a potential increase in stock price following an extended slump. Despite the controversial nature of the company, historical data shows a median return of 23.33% in the fourth week, making it an intriguing investment opportunity for risk-tolerant speculators looking to capitalize on potential market movements.
Read more at Yahoo Finance: Data-Driven Trades That Cut Through the Noise (GILD, MCD, DJT)