Time of year and buying....

[ados_nz]

This may be a silly questions but a wise man once told me there is no such thing as a stupid question only stupid answers....

Is there a time of year that suits buying/selling different shares.

Trends in consumption/investing/reporting during that period that affect performance?

Pls no flame.

[winner69]

Good question - this probably answers it

[silverblizzard888]

No its actually a very good question and the only stupid questions are the ones you don't ask, because if you never ask you will never know, so thus remain stupid.

Each different timeframe would more narrow down to the stocks you are after, but of course there are general influences too that influence the whole market.

Institutions and index rebalancing: i.e some stocks are included in the NZX 50 and those about to be kicked out, this can generate different ability in holdings as institutions have very strict policies they must follow and given everything these days are so institutionally driven, then their selling and buying have deep influence due to size. These happen every quarterly, but timing will differ for different institutions and indexes.

Announcement relevant times, stocks generally go up or down depending on sentiment leading up to financial updates and statement releases. During down time stocks prices drift and getting close to releases stocks spiral back to original value.

Interest rate change: I'm not sure if you follow what economic changes interest can have, but generally it changes the amount of money supply in publics hands and when people have a lot of money and no where to put it then it goes into the market.

Black swans, these are sudden events no one sees coming entirely, but you can be on the side like sweeping the sold down stocks due to it. I.E Brexit, Trump being elected. Not guarentees but has influence on markets sentiment, though you'd have to know you're companies well.

At the end of the day each to their own, find what you want, find the timing that affects it and you can bag some stocks at better prices or sell them at better prices.

Also heres a snip of what I got from reading the book The Indomitable investor:

January: the end of the result of the market is normally decided in the first 5 trading days of the year, if they are good then the market generally ends the year on a high and vice versa.
April: Has always been a bullish month and stocks usually always performs well in this month.
August: Tends to be a month where the decision makers are on holidays and so the lower ranked managers generally don't do anything while they are in charge. So not not much happens.
September: always been known as a month of volatility as managers seek to take profits and balance portfolios.
October: This is a month that is either super good or super bad and doesn't hold between.
November: Generally managers are looking to tidy up their portfolios for the end of the year and usually the worse performing stocks get sold down even more as managers don't want to look bad showing that they are holding badly performing stocks.
December: The last days of the year market tends to rebound, especially with all the badly performing ones having been sold down, fund managers start buying them as bargains.

Hope that helps! Bear in mind markets always change and nothing is ever guaranteed.

[percy]

Mid to late August is when I get the most full year results.
It is the time of year I have to concentrate the most.

[Beagle]

https://en.wikipedia.org/wiki/January_effect

[warthog]

Bear in mind markets always change and nothing is ever guaranteed.

"Bear in mind, markets always change…" :)

[Lewylewylewy]

Sell in may and walk away