~CAPITALGOODS showed marginal outperformance today. On a longer term basis, investors in Capital Goods made +0.06% per day. Friday's performance of -0.53% was a underperformance compared to it's daily average.
~CAPITALGOODS showed a bearish trend over the last 3 months. During this period ~CAPITALGOODS fell by -1.34% and saw a maximum drawdown of -10.91%. It has been unusually choppy during this period. Long term investors are better off avoiding investing in ~CAPITALGOODS till volatility reduces and a clear trend emerges.
~CAPITALGOODS has been outperforming the NIFTY-50 index in recent time. It showed significant outperformance (compared to the NIFTY-50 index) from 2 Mar, 2016 to 12 Jan, 2018. Over the last 2 years 11 months and 13 days, ~CAPITALGOODS outperformed the NIFTY-50 index on 51% days.
During the last three months ~CAPITALGOODS delivered profits on 50% days. However, it still managed to end this period in a loss. It's best return during this period (of +3.01%) was on Wednesday, 10 Oct, 2018. While it's worst loss in the same period (of -2.55%) was on Monday, 8 Oct, 2018. The longest stort-term trend during this period was 6 profitable days, which started on 26 Oct, 2018 and went on till 2 Nov, 2018. This bullish trend returned +6.74% to investors.
During the last year ~CAPITALGOODS had 7 profitable months and 5 loss making months. ~CAPITALGOODS returned profits in more months than NIFTY-50 index. ~CAPITALGOODS was also a more risky investment than NIFTY-50 index as it's worst month in the last year, Sep 2018, returned -9.83% compared to -6.42% returned by NIFTY-50 index in Sep 2018. ~CAPITALGOODS had a longer winning streak of profitable months than NIFTY-50 index. It went up in 3 straight months (from Oct 2018 to Dec 2018) during which period it delivered +5.25%. It is interesting to note that both ~CAPITALGOODS and NIFTY-50 index significantly outperform during months when quarterly/annual results are announced.
I always said that if I wasn't studying psychopaths in prison, I'd do it at the stock exchange.
-- Robert D. Hare
~CAPITALGOODS is currently seeing overall increase in volatility. In comparison, the NIFTY-50 index is seeing decrease in volatility. During the last three months, there was a significant surge in ~CAPITALGOODS's volatility from 17 Sep, 2018 to 12 Oct, 2018. While there was a significant fall in the NIFTY-50 index's volatility from 21 Sep, 2018 to 5 Dec, 2018.
Advanced/professional short-term investors should note that ~CAPITALGOODS 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.
NIFTY-50 index has more chance of extreme outcomes than ~CAPITALGOODS. Therefore, NIFTY-50 must receive a lower allocation than ~CAPITALGOODS in your portfolio. NIFTY-50 index usually has shorter drawdown period than ~CAPITALGOODS.
Based on your interest in ~CAPITALGOODS you may find it interesting to know that AARTIIND, HATSUN and LTTS are mid caps that have all shown remarkable performance and qualify to be on every investor's watchlist.
... we have a small favour to ask. Help us bring the power of algorithmic trading strategies to individual investors.
All content in this article was automatically generated by algorithms. This ensures that there are no human biases in the analysis provided. This approach to investing is not new and has been around for more than three decades. Yet, it has been available to only the most affluent or elite investors leaving individual investors to trade on emotions (such as fear and greed), intuition and poor analysis from third-parties. We want to change this.
We want to empower investors with all the tools and analysis required by them to make a rational investment decision.If you found Spotalpha useful, consider making a contribution. For as little as $5 you can support our efforts and it takes less than a minute. Thank you. Contribute