FREQUENTLY ASKED QUESTIONS
Stockfido is using a combination of higher probability stock picks and daily compounding returns to achieve a superior return. Albert Einstein reportedly said that "Compounding Interest is the most powerful force in the universe!”. Instead of waiting weeks and months for small gains of 5-10% that may or may not happen Stockfido can offer a much more steady and predictable method of obtaining growing returns. I believe when you look at using a daily method vs a long term buy and hold method you can ask your self how does your return look if you wait 30-90 days. Thus a 10% gain that took 60 days to achieve comes out to .0016 daily gain with a probably of obtaining it at about 50% verses Stockfido.com daily return of .0077 and a 67% probability of obtaining (as of 2/10/17), Thus our Stockfido method achieves a higher gain with more reliable wins.
Your Stockfido pick is delivered prior to the start of the trading day, Our best results were achieved by doing a "Buy on the Open Order”, followed by a Stop Loss Order set at 3% of the previous days closing Price. A stop loss is essential to good risk management practices for stock market traders. Check with your Brokerage Software to best understand how to best implement stop loss orders in your trades. We recommend monitoring the pick’s performance during the day and to set up your exit order by 3pm at the latest for a Sell at Close. Our modeling and results data are anchored on Opening and Closing data for each stock we pick.
It is important to be consistent in taking advantage your daily picks each day, otherwise you may miss days with opportunities of the largest gains.
A Stop Loss of 3% is a standard rule of thumb to protect your self from a large loss. Typically stocks will fluctuate during the day and sometime these fluctuations can be rather large in nature so the stop loss is intend to protect you from these large fluctautions, flash crashes or other serious market shifts. In contrary often times a stock can drop more than 1-2% in a day and recover much of the day's loss. A conservative 3% will protect you from any large fluctuations beyond 3%. 2016 Stockfido picks had 5 occasions of a 3% Stop Loss being triggered with a 3% Stop Loss. It is wise to always manage your risk with a protective stop loss.
Stockfido is continually researching and improving our Stock Pick models and algorithms we develop. During 2016 Stockfido we used four different models, each showing an improvement over the previous model. Each model is backtested and compared to existing models before being put into production.
Stockfido uses a subset of the SP500. We use a subset of about 300 stocks due to model and data constraints.There are plans to expand on this in the future.
Stockfido employees and associates do not act on the daily stock picks we produce for our clients. This prevents us from any conflict of interest in the services we provide our clients. We are a data analytics and publishing company and our business model is selling valued information to our clients. We are not an SEC registered company and hold no assets or interest in Stockfido published daily stock picks.