The Closing Print live trading and financial blog during market hours.

NYSE and Market Seasonality for August

The NYSE Composite is coming into the weakest seasonality of the year, as August and September remain two of the worst months for the stock markets, investors and institutions alike. Consider international ETFs like Brazil, Argentina, Mexico and the European Union (EU) countries as money flow pushes those investments higher.

NYSE Seasonality – Its Summer After All

In the past five years, August underperformed without exception, with September a bit stronger only in 2017. Traders and investors are on vacation after all, so there are fewer participants to buoy the market. The graphic below goes back 10 years for good measure.

 

NYSE Seasonality

 

All things considered, NYSE Composite (NYA) has been breaking to higher levels, with the strongest GDP growth in the past 10 years as a tailwind. The question remains, will we move higher this time?

NYSE New Highs – Still Bullish

With many indicators overbought, and advancing stocks slowing (bottom panel) we look to the industrials and financial stocks to take the lead this time of year.

Banks, energy, and big cap industrial stocks have been breaking out lately, so we’ll focus on AXP, BA, GS, JPM and few other Dow Industrial (DJIA) components to lift us higher this week.

 

NYSE MON Seasonality

 

Apple (AAPL) will be in focus today, as it reports after the closing bell Tuesday. Watch AVGO and SWKS for sympathy moves.

Futures are flat going into the Opening Bell.

Banks are favored today.

Join us LIVE at 9:20 AM to discuss potential trades from the weekly watch list. There are a half dozen undervalued stocks on the list with good technical metrics. LRCX is an example.

Happy Trading,

Vinny



 

https://theclosingprint.com/CV_Blog/stocks-seasonality-sell-in-may-and-go-away/

 

Disclaimer:  Do your Own Research

Our content is intended to be used and must be used for informational purposes only. It is very important to do your own analysis before making any investment based on your own personal circumstances. You should take independent financial advice from a professional in connection with, or independently research and verify, any information that you find on our Website and wish to rely upon, whether for the purpose of making an investment decision or otherwise.

Investment Warnings

We would like to draw your attention to the following important investment warnings. The value of shares and investments and the income derived from them can go down as well as up; Investors may not get back the amount they invested – losing one’s shirt is a real risk; past performance is not a guide to future performance.