Of the stocks I follow on a quantitative analysis basis, Goldman Sachs stock is of the highest interest. On a quantitative model, our machine learning algorithms are predicting GS stock between $289-$293 will occur a counter trend.

The market itself and GS stock included has been in a downtrend. Now I am not here to tell you the market has bottomed out, I am not good at picking a bottom. Regardless, I am here to say that based on the statistics of the downtrend in GS stock, the price range of $289-$293 or there about in that neighborhood, GS stock can experience a counter rally of about 15%.

On Thursday May 12, 2022 GS stock hit $293.94 and had a reversal rally. This helps reinforce our thinking that the lower $290 level or the upper $280s level could set up support and start the counter rally.

Lets say the stock gets to $289 on the downside, a 15% rally gets you to about $332/share. Lets also look at some fundamentals of GS, trailing price-to-earnings ratio: 5.84, forward price-to-earnings ratio: 7.82. Price to Book, GS is trading very cheap, just 0.99 of book value.

Last Word: Our models suggest a 15% counter rally could occur at these levels. Again I want to reiterate that I am not here to say that the market and GS has bottomed out, but a counter rally is very likely.