Let’s look at the DAX today. Choose your market and limits in the Seasonax screener function to automatically generate a list of the most promising investment opportunities. Let’s look at Jan 17. Set the history of the data that you want to examine. Let’s go for the past 10 years. Set the minimum and maximum time period that you want to hold the instrument ranging from minimum 31 and max 90 days we will go for 31-60 days. And as the last step, select the filter that will screen your results and remove all patterns with lower rates of winning trades. Let’s go for 80% of winning trades.
We see that over the last 10 years Airbus has gained an annualised return of 63.57 % of the time and made over 6.56% in returns on average.
Now the recent sell-off in stocks has been on the worry that the Fed will be hiking interest rates into a US economy that is slowing down. The prospect of the runoff of the balance sheet as interest rates move higher have investors leaving tech stocks. This is a headwind for stocks. However, if airlines are able to start operating again, if omicron is mild enough to allow eventual free travel, then demand should pick up for Airbus once again.
Major Trade Risks:
- If interest rates are seen to be rising too fast, that could cause a broad sell-off in stocks in the near term.
- Any bad news for Airbus could also weaken the stock.
HYCM clients can access the Seasonax product in order to analyse over 25,000 currency pairs, indices, commodities, as well as individual stocks. Please contact your account manager for a free trial and get started right away.