ARCONIC INC. was among the worst performers on Friday. It returned -1.0% to close at 19.74. It is currently trading -35% below it's 52 week high of 30.84.
Buy-and-Hold investors in ARNC experienced a maximum drawdown of -17.86% over the last three months. It returned -13.12% during this strong down trending period. There were both Long and Short signals during this period, where the short signals were significantly more profitable than the long signals.
ARNC has been outperforming the SP500 index in recent time. Over the last 2 years 11 months and 10 days, ARNC underperformed the SP500 index on 49% days. Which indicates that on days ARNC underperforms the SP500 index, it's performance is marginally worse than on the days it outperforms the SP500 index.
ARNC returned losses on 53% days in the last three months. During this time, it delivered on average -0.2% per day. It delivered it's best daily return of +7.14%, during this period, on Monday, 8 Oct, 2018. There was initially a bullish trend during this period which started on 27 Sep, 2018 and went on till 3 Oct, 2018. The bullish trend returned +3.4% to investors. This was followed by a bearish trend that started on 18 Oct, 2018 and ended on 24 Oct, 2018. This bearish trend lost -12.34% of investor capital.
On monthly basis, ARNC delivered losses in more months over the last year, than profits. ARNC delivered profits less regularly than SP500 index. ARNC significantly outperformed SP500 index in Jul 2018, when it returned +28.65% compared to +4.75% returned by SP500 index during it's best month in the last one year - Jan 2018. ARNC had a longer winning streak of losing months than SP500 index. It went down in 5 straight months (from Feb 2018 to Jun 2018) during which period it delivered -48.27%. It is interesting to note that both ARNC and SP500 index significantly outperform during months when quarterly/annual results are announced.
If you would be wealthy, think of saving as well as getting.
-- Benjamin Franklin
ARNC is becoming less volatile overall. In comparison, the SP500 index is seeing a rise in volatility. During the last three months, there was a significant surge in ARNC's volatility from 4 Oct, 2018 to 1 Nov, 2018. While there was a significant surge in the SP500 index's volatility from 25 Sep, 2018 to 29 Oct, 2018.
Advanced/professional short-term investors should note that ARNC has significant positive skewness in it's return distribution. This indicates that investors can expect ARNC to recover from drawdowns quickly. Which makes ARNC a good candidate for investing on short-term bullish trends or even counter-trends hoping for a pull-back.
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