Have You Seen The ‘Turn Of The Month Dynamics’ For August?

Cutout paper illustration representing scheme and Stocks inscription

Image Source: Pexels
 

From a seasonal perspective, stocks tend to do well over the turn of the month from around the 26th to the 5th. The most likely reasons for this is due to fund inflows and index payments that occur around the turn of the month. With Seasonax’s event feature, you can see that the turn-of-the-month dynamics are quite different for different months.

Take a look at the comparative weakness of August for the DAX around the turn of the month compared to other months. So, does this information mean that you could time your entries into major indices to enter at the most advantageous seasonal period? Does this data reflect the typically weaker price action we see in summer for some of the major indices?

Major Trade Risks: The major risk here is to do with the market reaction to the Federal Reserve policy meeting and the US Core PCE print data that is out on Friday. Both of which can move stocks.

Video Length: 00:01:53


More By This Author:

Will The ECB Send The EURUSD Lower?
Is The Fed Set To Send Gold Higher?
JPY Pairs In Focus Ahead Of Japanese Inflation Data

Disclaimer: Past results and past seasonal patterns are no indication of future performance, in particular, future market trends. seasonax GmbH neither recommends nor approves of any particular ...

more
How did you like this article? Let us know so we can better customize your reading experience.

Comments

Leave a comment to automatically be entered into our contest to win a free Echo Show.
Or Sign in with