Of the 1645 stocks analyzed on Thursday, 1514 advanced, 122 declined and the remaining 9 were flat on the day. Gains across the stocks averaged 3.02% on volumes only 2% greater than the day previous. Gains across the capitalizations averaged 2.56%, 3.11% and 3.77% for large-caps, mid-caps, and small-caps, respectively. At present 52.4% of stocks are listed as overbought according to stochastics.
Analysis has revealed that with a buy date of October 22 and a sell date of September 23, investors have benefited from a total return of 1020.89% over the last 10 years.This scenario has shown positive results in 6 of those periods.
Conversely, the best return over the maximum number of positive periods reveals a buy date of July 27 and a sell date of January 23, producing a total return over the same 10-year range of 566.26% with positive results in 9 of those periods.
The buy and hold return for the past 10 years was 429.17%.
Comments:
Gold stocks have begun to reveal favorable momentum as we near the period of strength that leads the gold mining industry to gains from the end of July through to October.IAMGOLD is one such stock that is seeing technicals become increasingly favorable for an entry point into the equity.What lacks, however, is the conviction to the upside move, which would be noted by increased volume as well as outperformance compared to the market.These indications could soon come as long as positive momentum continues – a buy signal appears imminent.The stock sees gains exceeding 15%, on average, by the end of the period of strength that ends in October once the volatility and uncertainty in the market eases.The present dip in the stock that has taken the price of the equity lower by 16% since the May highs provides an appealing value as we enter the earnings season for Gold miners over the next few weeks.
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Disclosure: Mr. Vialoux does not own securities mentioned in this report.
Disclaimer: Comments and opinions offered in this report at EquityClock.com are for information only. They should not be considered as advice to purchase or to sell mentioned securities.
Data offered in this report is believed to be accurate, but is not guaranteed.
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