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Analysts recommend not to sell in April 

It seems helpful to look at the statistics to see what has happened in the past. We can see how some investment decisions have never made much sense. Only six trading sessions have left until April ends, and investors are already looking to May with uncertainty. 

If we look at what the EuroStoxx 50 has done throughout its history, we see how it has made gains in two out of every three months of April. 

And what happens in May? The truth is that in the last 30 years, losses are averaging slightly higher than half a percentage point. So, the gains from being invested in April have more than offset the losses that staying with the positions had taken in May.

The EuroStoxx, since the beginning of April, has only registered a 1% increase compared to the average of 2.3%. However, in general, equities indeed arrive at this time of year with accumulated double-digit returns. These figures may convince some investors to be cautious and reap those benefits.

Good buying opportunity in the stock market

People are usually concerned about May. Analysts believe that this time, there could be a correction that is even an investment opportunity. A reasonably good epidemiological and vaccination scenario has been discounted, taking into account the latest increases in the tourism sector.

If there are falls, it is necessary to take advantage of them to buy because the support of the central banks, the fiscal stimuli, and the expectations of the cycle’s recovery is maintained. 

During the three weeks to April, the most bullish sector in Europe has been consumer discretionary,  real estate and basic materials following suit. The latter is also one of the best so far this year. However, the clear winner in 2021 continues to be that of the automobile companies. This sector has seen a rise of close to 20% since January 1.

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