COLPAL performed worse than the broader market today. On a longer term basis, investors in COLGATE PALMOLIVE LTD. made +0.06% per day. Friday's performance of -1.19% was a underperformance compared to it's daily average.
COLPAL showed a strong bullish trend over the last 3 months. During this period COLPAL surged by +20.05% and saw a maximum drawdown of -6.2%. There was a long signal during this period which returned +16.46%.
COLPAL has been underperforming the NIFTY-50 index in recent time. It showed significant outperformance (compared to the NIFTY-50 index) from 11 Sep, 2018 to 31 Dec, 2018. Over the last 3 years and 1 month, COLPAL outperformed the NIFTY-50 index on 51% days.
COLPAL returned losses on 51% days in the last three months. During this time, it delivered on average +0.3% per day. It delivered it's best daily return of +4.45%, during this period, on Monday, 26 Nov, 2018. The longest stort-term trend during this period was 7 profitable days, which started on 13 Nov, 2018 and went on till 21 Nov, 2018. This bullish trend returned +6.08% to investors.
The last 12 months saw COLPAL's investors making profits in 7 months and incurring losses in 5 months. During the last year, COLPAL delivered profits in more months than NIFTY-50 index. COLPAL significantly outperformed NIFTY-50 index in May 2018, when it returned +13.36% compared to +6.56% returned by NIFTY-50 index during it's best month in the last one year - Jul 2018. COLPAL had a longer winning streak of profitable months than NIFTY-50 index. It went up in 3 straight months (from Mar 2018 to May 2018) during which period it delivered +21.77%.
"Investors must keep in mind that there's a difference between a good company and a good stock. After all, you can buy a good car but pay too much for it .
COLPAL is currently seeing overall fall in volatility. In comparison, the NIFTY-50 index is seeing decrease in volatility. During the last three months, there was a significant surge in COLPAL's volatility from 9 Nov, 2018 to 11 Dec, 2018. While there was a significant fall in the NIFTY-50 index's volatility from 31 Oct, 2018 to 5 Dec, 2018.
Advanced/professional short-term investors should note that COLPAL has negative skewness in it's return distribution. This indicates that investors may need to stay invested through long periods of drawdown before expecting a recovery.
Investors trading in COLPAL derivatives at this moment can consider 'Married Call' options strategy to receive better risk-adjusted returns.
COLPAL has more chance of extreme outcomes than the NIFTY-50 index. Therefore, COLPAL must receive a lower allocation than NIFTY-50 in your portfolio. NIFTY-50 index usually has shorter drawdown period than COLPAL.
Based on your interest in COLPAL you may find it interesting to know that HATSUN is highly volatile and investors investing in it must take extreme caution. Consider either reducing your exposure to HATSUN or sufficiently diversifying your portfolio.
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