How to play the coming January bounce-back for 2023's stock-market losers

  • 📰 MarketWatch
  • ⏱ Reading Time:
  • 41 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 20%
  • Publisher: 97%

France Nouvelles Nouvelles

France Dernières Nouvelles,France Actualités

Tax-loss selling and end-of-year window dressing artificially depress certain stocks, which then typically rebound in Janaury

Don’t be too quick to sell the stocks that have performed the worst so far this year, since they are likely to be among the U.S. market’s best performers in January.

One source of selling pressures is end-of-year window dressing, in which portfolio managers sell their losers in order to avoid the embarrassment of having to list them in their end-of-year reports. The other is tax-loss selling, in which investors sell some of the stocks they’re holding at a loss in order to offset some of the capital gains taxes they will have to pay in 2024.

To exploit this pattern, start by looking through a list of the biggest year-to-date losers. Pick out a handful that attract you, and place buy orders on them at prices well-below where they’re currently trading. If you’re lucky, year-end window dressing and tax-loss selling will depress prices enough that a few of your orders are filled. Come January you stand a good chance of pocketing some outsized gains.

Nous avons résumé cette actualité afin que vous puissiez la lire rapidement. Si l'actualité vous intéresse, vous pouvez lire le texte intégral ici. Lire la suite:

 /  🏆 3. in FR
 

Merci pour votre commentaire. Votre commentaire sera publié après examen.

France Dernières Nouvelles, France Actualités

Similar News:Vous pouvez également lire des articles d'actualité similaires à celui-ci que nous avons collectés auprès d'autres sources d'information.

US Stock Market's Stellar 2023 Run Under Threat as Bond Vigilantes Make a ComebackStocks Analysis by James Picerno covering: Vanguard Total Stock Market Index Fund ETF Shares, LPL Financial Holdings Inc, United States 10-Year, SPDR® Bloomberg High Yield Bond ETF. Read James Picerno's latest article on Investing.com
La source: Investingcom - 🏆 450. / 53 Lire la suite »

Here's what all the major analysts are saying about Alphabet before earningsDespite the tech giant's outperformance in 2023, many analysts remain bullish on the stock.
La source: CNBC - 🏆 12. / 72 Lire la suite »