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A Review Of Next Candle’s Top Stock Forecasts

|Includes: AONEQ, General Motors Company (GM), OPTT, QTWW

Electric cars and clean tech might be the wave of the future but over the past week, these industries appeared to be stalling on our Next Candle stock forecasts. To begin with, Next Candle correctly predicted that General Motors (NYSE:GM) would hit a lower low during the trading day on Tuesday after a spat of negative news, including news that it would halt production of its plug-in hybrid electric vehicle, the Chevrolet Volt, for five weeks because of high inventories.

Naturally, this news in particular from General Motors (GM) had an impact on other electric vehicle and clean tech stocks with a few of them making regular appearances on our highest probability lists (>80% probability of a movement in the predicted direction). In fact, a quick review of this week's highest probability revealed the following stock forecasts:

  • Quantum Fuel Systems Technologies (NASDAQ:QTWW) will produce a lower low on Friday.
  • Ocean Power Technologies (NASDAQ:OPTT) will produce a lower low on Friday.
  • A123 Systems (AONE) will produce a lower low on Wednesday and Thursday.

And the results:

  • Quantum Fuel Systems Technologies (QTWW) fell 3.88% or $0.04 to $0.99 and had a daily trading range of $0.98 to $1.08. Quantum Fuel Systems Technologies (QTWW), which develops and produces hybrid propulsion and natural gas vehicle systems plus other alternative energy technologies, had reported earnings on Thursday morning for the past eight months as the company is changing its fiscal year end from April 30 to December 31.
  • Ocean Power Technologies (OPTT) fell 5.77% or $0.18 to $2.94 and had a daily trading range of $2.91 to $3.36. In fact, our Next Candle stock forecast about Ocean Power Technologies (OPTT) appeared to be way off as the stock surged in morning trading but around 11:50 am, it produced the lower low that we had predicted and it kept heading lower for the rest of the trading day. Its worth noting that Ocean Power Technologies (OPTT) is not an electric car related stock as it is instead developing and commercializing systems that will generate renewable energy from ocean waves.
  • A123 Systems (AONE) closed lower on both Wednesday and Thursday - just as Next Candle had predicted. On Thursday before the market opened, A123 Systems (AONE), which designs, develops, manufactures and sells rechargeable lithium-ion batteries and battery systems for electric vehicles and other uses, reported a wider than expected loss thanks in part to troubles at Fisker Karma - which represents a big chunk of the company's revenue. Specifically, Fisker Karma has suspended work at US plant as it tries to renegotiate a $529 million loan from the Department of Energy.

Of course, how much money you would have made from a good stock forecast about General Motors (GM) along with electric vehicle and clean tech stocks Quantum Fuel Systems Technologies (QTWW), Ocean Power Technologies (OPTT) and A123 Systems (AONE) would have depended upon your trading strategy plus how well you were able to execute it. Nevertheless, you would have had a better chance of coming out ahead with a Next Candle stock forecast.


Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.