Pages

2024/08/31

"The Heartbeat of the Markets"

Shield

AN OXFORD CLUB PUBLICATION

Loyal reader since May 2022

Wealthy Retirement

View in browser

SPONSORED

Man Who Predicted Biden's Drop Out In October Issues Shocking New Election Prediction

 

After calling Biden's withdrawal, former White House advisor Jim Rickards issues an even more shocking election warning...

>> Watch This Video to Learn More <<.

Editor's Note: A recent discovery by Manward Press Chief Investment Strategist Shah Gilani could fundamentally change how everyday people invest.

In short, he's found a rare collection of stocks that rise with near-perfect consistency during certain months of the year...

And he recommends using a special strategy to maximize the potential gains.

His #1 play for September has gone up by an average of 73% in September over the past four years!

Go here to get the name and ticker of Shah's September play and learn more about his team's fascinating research!

- James Ogletree, Managing Editor

Seasonal Trends: the "Heartbeat of the Markets"

Shah Gilani, Chief Investment Strategist, Manward Press

Shah Gilani

There's a season for everything... especially stocks.

Seasonality and cyclicality in trading and investing are not merely trends or passing fads...

They are the heartbeat of the markets, pulsing with predictable opportunities for smart investors.

Cyclical investing reflects the ebb and flow of economic cycles. Investors who understand these cycles rotate into sectors poised for growth during specific phases. That gives them an opportunity to maximize their portfolio returns over time.

As a 40-year market veteran, I've witnessed firsthand how these patterns can unlock substantial profits.

You can find these seasonal surges and cyclical upturns in many sectors.

Nature's Rhythm

Seasonality is huge in the commodities sector.

The prices of certain commodities correlate with specific times of the year. Those prices are driven by factors such as weather patterns, agricultural planting and harvesting cycles, and global demand shifts.

For instance, corn and soybean prices are influenced by planting and harvest seasons.

As spring approaches, farmers prepare their fields and plant crops, which in turn drives up prices as demand for these commodities spikes.

Then during harvest time in the fall, increased supply can lead to temporary price dips as markets adjust.

Chart: Seasonal Corn Prices
View larger image
 

Knowing these cycles helps traders buy and sell at the right times. (And if you're using leveraged futures or ETF trades, including with options, you can make a lot of money.)

Energy commodities like natural gas and heating oil have obvious seasonal patterns driven by weather extremes.

Winter brings demand for heating fuels, pushing prices higher as cold snaps grip northern regions. During the summer, demand for cooling fuels like natural gas for electricity generation rises.

While commodities follow seasonal patterns closely tied to nature, other sectors have their own rhythms.

SPONSORED

The Mysterious VC Firm Behind Nvidia's Secret Weapon

Businessman in black suit
 

In 1999, Sutter Hill Ventures made a bold bet on Nvidia before anyone had heard of it. Now, they're going all-in on Nvidia's hush-hush partner that's powering their new Blackwell chip. Discover the little-known company that's attracting massive investments from the visionaries behind Nvidia's 100,000% rise. Unlock the hidden key to AI's future.

Predictable Peaks

Consumer spending shows cyclical behavior too. There are several peaks throughout the year, including...

  • Easter to Memorial Day
  • The Fourth of July
  • Back-to-school shopping in August
  • The December holiday season.

By investing in retail giants ahead of these peaks, investors can capitalize on seasonal spending trends.

The tech sector thrives on a slightly different cycle - the cycle of innovation. Companies release new products and updates at regular intervals. Investors can get in ahead of product launches or major tech events.

During periods of economic expansion, real estate and construction sectors do well as infrastructure projects gain momentum.

Cyclical investments in construction materials, homebuilders, and REITs can yield substantial returns as economic indicators point toward growth.

Even precious metals like gold and silver are not immune to seasonal influences.

Chart: A Season for Gold
View larger image
 

Gold historically experiences a surge in demand during certain seasons in different countries around the world.

  • The price of gold rallies early in the year as we approach the Chinese New Year.
  • It surges on massive gold-buying in India during the Diwali holiday in late October and early November.
  • It ends the year at its highest point during the Indian wedding season, when demand is high.

By following these types of economic cycles, investors are able to optimize their portfolio performance across many sectors.

But there are a few things to keep in mind...

A Cycle of Profits

Cyclical investing needs careful research, strategic timing, and a keen understanding of market dynamics.

It's important to diversify your portfolio across commodities, sectors, and asset classes to manage the risks associated with seasonal volatility and cyclical downturns.

You need patience and discipline as well. Don't chase short-term trends... allow the cycles to play out.

Cyclical profits are not just possible... but are just about everywhere in the markets.

In fact, I've recently found something that's produced gains like clockwork. I'm talking about a win every month... for the past 10 years!

It's all thanks to what I'm calling "Undefeated Stocks."

That's right. Undefeated. And I don't say that lightly.

You can check out my brand-new research - along with a handful of tickers to try for yourself - right here.

Cheers,

Shah

Leave a Comment

Wall Street PROJECTS $30 Energy Stock Will Rise to $280 in 18 Months!

Indicators Point to a Year-End Rally

Get Marc's Top 5 Dividend Stocks (FREE PICKS)

How to Secure Double-Digit Option Gains

SPONSORED

Yours Free! Top FIVE Dividend Stocks Right Now

Marc Lichtenfeld - income expert and author of Get Rich with Dividends - is giving away his Ultimate Dividend Package... completely free of charge!

You'll discover...

  • An "A"-rated, ultra-safe dividend stock with a huge 8% yield
  • Three of Marc's favorite "Extreme Dividend" stocks, which could supercharge your income
  • And finally, Marc's No. 1 dividend stock for a LIFETIME of income.

Click here to get the names and ticker symbols now... before the download link expires.

**NO CREDIT CARD REQUIRED!**

No comments:

Post a Comment

Keep a civil tongue.