Harnessing AI for Smarter Market Moves

NexxtGen Markets
Jun 3
2 min read

Navigating today’s fast-moving markets requires agility, strategy, and a keen eye for trends. Momentum-LS, an AI-powered long-short trading strategy, offers a sophisticated way to capitalise on market momentum while managing risk.

Traditionally, hedge funds have leveraged momentum strategies to ride strong trends—whether bullish or bearish. Now, with Momentum-LS, individual investors can access the same approach, using proprietary AI to track large-cap U.S. equities.

How Momentum-LS Works

Momentum-LS employs a 75/25 allocation model, strategically balancing long positions in rising stocks with short positions in underperformers. This structure is designed to:

✅ Capture trends in high-performing stocks

✅ Mitigate downside risk through short exposure

✅ Adapt dynamically with monthly AI-driven rebalancing

Unlike traditional hedge fund investments, Momentum-LS eliminates excessive fees, making it a cost-effective way to gain exposure to market trends. With limited capacity, early access ensures alignment with the portfolio’s long-term objectives.

The Power of Momentum Trading

Momentum long-short trading is a systematic investment approach that seeks to profit from price trends in financial markets. The strategy involves:

📈 Buying stocks with strong upward momentum

📉 Short-selling stocks showing consistent declines

🔄 Generating returns regardless of market conditions

By leveraging AI-driven insights, Momentum-LS identifies high-potential stocks while filtering out high-volatility assets to minimise risk.

Portfolio Selection & Strategy

Momentum-LS screens all U.S. stocks available on eToro, selecting assets based on:

🔹 Market capitalisation and liquidity

🔹 Momentum scores to rank stocks

🔹 Volatility filters to avoid extreme risks

The top-performing stocks are selected for long positions, while underperforming stocks are shorted. Equal weighting within each section ensures a balanced portfolio, optimising returns while maintaining stability.

Key Portfolio Features

📅 Rebalance Frequency: Monthly

💰 Minimum Investment: $10,000

Momentum-LS offers a data-driven, risk-aware approach to investing—helping traders stay ahead in an ever-changing market.

📈 Trade Smarter with NexxtGen Markets

Whether you're just starting or levelling up your trading, NexxtGen Markets is here to help you navigate your path. From stocks and ETFs to crypto and commodities, eToro offers one of the most flexible and intuitive platforms for everyday investors.

If you’re ready to start your trading journey or refine your skills, NexxtGen Markets is here to help. Join Steve and the community to access high-quality insights, proven strategies, and ongoing mentorship that can make a difference in your trading success. https://bit.ly/nexxtgenmarkets

⚠️ Risk Warning

Trading and investing carry risks. You should seek professional advice before engaging in such activities. Leverage can amplify both gains and losses. Past performance is not indicative of future results. Full risk disclosure: http://nexxtgen.pro/risk

🧾 NexxtGen Markets partner with eToro and may receive a small commission for anyone joining eToro via our website or socials.

*All prices / quotes correct at the time of writing.