I was recently asked to compare the StockBarometer to VectorVest. First, let me give you a VectorVest Review.
Like the StockBarometer, VectorVest is a black box, an algorithm that will help you make faster, smarter and better stock market decisions for better profits. The point of each is to save time.
VectorVest started back in 1978, wheras the Stock Barometer started back in 2001. Both are mathmatical models that predict if stocks will rise or fall.
In visiting their site, Founder Bart A. DiLiddo, PhD has an article on “The secret to making money in the stock market” where he reviews 3 powerful forces driving the stock market. 1. Is Corporate Earnings, 2. is Inflation and 3. is Interest rates. Not to pick on Bart, but these forces don’t move the market. Far from it. Markets are computer traded (over 70%) now. Those computers also use black box algorithms to trade the market and most of them, don’t use any of these variables to act. That being said, this article was most likely written for an easy read.
The main difference between the Stock Barometer and VectorVest is that the Stock Barometer focuses on the short term. VectorVest is a long term timing tool. The StockBarometer focuses on trading action. VectorVest focuses on earnings, interest rates, and price momentum. The basis of the Barometer is that 3 out of 4 stocks will follow the general market.
When the Stock Barometer gets a buy signal, we identify 5 of the markets best stocks to trade based on relative price action and relative earnings growth. VectorVest will give you specific buy and sell signals for your stocks as well as recommend a portfolio of 20 stocks.
There is only 1 StockBarometer subscription package. Where you get our daily advice and stock and options trades. For $24.95/month with a $1 trial.
VectorVest has 5 versions of their product ranging from $39/month to $129/month depending on whether you want to access the service online or through trading software and the level of data you would like (end of day versus intra day). Making it a little more complicated is that there are several plug ins available for VectorVest 7. Each of course at an additional cost.
Where does the StockBarometer get it’s stock picks? Stock Barometer has always been a long time Investor’s Business Daily supporter, and each of Their 5 portfolio picks will come from their top 100 list, after a thorough technical analysis and review of all 100 stocks.
That being said, our VectorVest Review suggests that both the StockBarometer and VectorVest will help you in the trading of your stock. StockBarometer is a better representation of the short term action in the stock market, while VectorVest will provide you more specific advice on your stock, but may miss the ‘big picture’ as it tries to catch major moves, and miss the small moves…