Home Investing Sell Short FactSet And Buy FEDEX

Sell Short FactSet And Buy FEDEX

by admin

The S&P 500 is due to rally into the 18th-19th and then turn down. In fact, the last week of the month has been the most bearish week seasonally.

FactSet shares are due to fall. In the three-up chart, we see falling relative strength. In fact, relative strength peaked in 2022. There is no sign of a turnaround at this time. The company reports on the 19th before the market opens. The weekly cycle crests at that time. Given the cycle peak, this earnings report is likely to be met with selling.

FactSet Daily, Weekly, Monthly

FactSet Monthly Cycle

FEDEX shares are moving into a buy cycle in early October. First, we see that relative strength has picked up since June. Monthly, it appears that relative strength may be making a longer-term low. Prospects are brightening. On average, the stock has risen from September 24th to December 7th 73% of the time over the last 44 years. The monthly histogram depicts the expected return of the stock on a monthly basis. We can see that September has been the launching pad for a strong Q4 rally.

The last graph is that of the accurate weekly price cycle. Note that it peaks now and falls into the end of the month. This reflects two potential developments. First, the market is likely to fall from September 18th into early October. In addition, the company reports earnings on the 19th after the close. Short-term cycles suggest a pullback in the share price. Defer purchase until early October and retain holdings into yearend.

FEDEX Daily, Weekly, Monthly

FEDEX Monthly Histogram

FEDEX Monthly Cycle

You may also like

Leave a Comment