FAQ - Frequently Asked Questions

A. Investolution is

• The name of stock market forecast charts we publish
• The technology we use to create these charts
• Us, inventors of this technology

A. Investolution charts are basically technical analysis charts as they only rely on past trading data. They are however, probabilistic in nature and require significantly more computing power than your average technical analysis charts.

Investolution charts generate a distribution of possibilities that the value can take for each day, where the value is the percent change range in price for the next 40 days.

For instance, if your base stock price is 100, and you forecast the maximum percentage as 10% and minimum percentage as -5%, you can expect the end-of-day stock prices to vary between 95 and 110 for the next 40 days.

See the Blog page for more information.

A. Investolution charts have two axes:

• x-axis (horizontal): Expected percent change (red for minimum, black for maximum)
• y-axis (vertical): Grade

On each chart there are a number of red and black points. Red points indicate the minimum expected price drop (%) and the black points represent the maximum expected price increase (%) in the next 40 trading days (roughly 2 calendar months).

Grade is a non-linear proprietary function. Higher graded data points tend to be more accurate (especially when they are aligned with lower grade data points and are above 90).

See the Blog page for a detailed example.

A. This is something you have to decide for yourself. Here is our approach to give you a starting point.

In reality, all technical analysis methods work, but the catch is that sometimes they don't and this is where you lose your previous gains. With Investolution charts our goal is to go one level deeper where we not only calculate a value, but try to have an indication whether the value is accurate or not. This is why we have a distribution of values rather than a single value. We (and so should you) study past forecasts and try to correlate specific distribution patterns with accuracy of the forecast. Because even if the forecast is accurate one day a year, you'll still make money as long as you know when that day is.

See the Blog page for more information.

A. Investolution charts are based on a number of proprietary technologies we have developed over the years.

A. We are not planning to publish our technology/software at the moment.

A. Investolution stock market forecast charts are available through different feed formats and they can be syndicated via third party web sites as long as the copyright information is preserved and none of the original feed attributes are not altered (i.e. title, description, link, etc.). See our Blog dated 1 June 2007 for more details on terms of use and technincal instructions.

For educational or information sharing purposes (e.g. in a Blog) Investolution charts can be referred to as long as their origin and referring URL are clearly indicated.

To use them for other purposes, please contact us.

Investolution charts cannot be sold or bundled with other products that are sold for a fee. It is however, OK to include feeds from Investolution on web pages that might have income generating advertisements, provided that the above conditions are met.

A. 40 trading days was picked as an optimum time for the intended use of the technology (mostly in option trading). It does work with other time periods with varying degrees of accuracy.

A. Yes, with varying degrees of accuracy.