American Express: Don't Trade Without It

10/11/2019 4:12 am EST

Focus: STOCKS

John Rawlins

President and CEO, QuantLogik LLC

The QuantCycles Oscillator is predicting a significant upward reversal in American Express Co. (AXP) reports John Rawlins.

The American Express Co. (AXP) has performed well in 2019. It rallied more than 40% from its late 2018 low to the July high and is up more than 20% year-to-date.

AXP has dropped a little more than 10% since the stock market peak. This correction has pushed AXP to extreme oversold territory in the weekly QuantCycles Oscillator. The weekly oscillator indicated a bottom was set in AXP a couple of weeks ago and predicts an up move should continue the rest of the year (see chart).

axp w

The QuantCycles daily oscillator (drawn Oct. 9) is forecasting a bottom will hit on Friday and begin a three-week up cycles. There is a close convergence of the daily and weekly oscillators that suggest AXP will begin a significant rally (see chart).

axp d

The short-term (240-minute) oscillator (drawn Wednesday evening) has AXP in a downtrend that will reverse in a day—roughly Thursday evening/Friday morning.

This lines up near to the hour with the daily oscillator, adding strength to both the near-term and overall bullish outlook (see chart).

axp

The QuantCycles is indicating a strong bullish outlook for AXP that is expected to run through the end of 2019.

John Rawlins described the value of the QuantCycles Oscillator recently at The Orlando MoneyShow.

The QuantCycles indicator is a technical tool that employs proprietary statistical techniques and complex algorithms to filter multiple cycles from historical data, combines them to obtain cyclical information from price data and then gives a graphical representation of their predictive behavior (center line forecast). Other proprietary frequency techniques are then employed to obtain the cycles embedded in the prices. The upper and lower bands of the oscillator represent a two-standard deviation move from the predictive price band and are indicative of extreme overbought/oversold conditions.

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