Don Vialoux, runs the ETF Seasonal Rotation fund which invests in certain sectors of the market at certain times of the year and over the last three years or so, there has been some appreciation in his fund. But more importantly, since the energy sector has been creamed in the last five months, his ETF has not been hurt…well, not too much. As Vialoux suggests that the season “to buy the oil stocks is from now until October.” – comment by David Pescod
Here’s Vialoux’s case in Charts:
The Canadian energy sector is showing early technical signs of bottoming. Thackray’s 2012 Investor’s Guide notes that the energy sector has a period of seasonal strength from July 24th to October 3rd.
Ed Note: Josef Schachter has been suggesting since really early this year that oil was going down and that the markets in general are to take a hit. And oil will bottom some time in October.
He also suggests you buy the oil stocks, but unlike Vialoux wants to buy them 2 months later in October.
