Year End Wrap Up
A year end “tune up” may be more appropriate. Now is the time to take a hard look at your holdings and rebalance if needed. Typically, December is a market “down month” for various reasons (tax-loss selling, etc) and to prepare for the “January effect”. Succinctly, Investopedia defines the January Effect as:
The January effect is a seasonal increase in stock prices during the month of January. Analysts generally attribute this rally to an increase in buying, which follows the drop in price that typically happens in December when investors, engaging in tax-loss harvesting to offset realized capital gains, prompt a sell-off. Another possible explanation is that investors use year-end cash bonuses to purchase investments the following month.
From our industry leading tenets of investing in this industry is the continuous requirement for ongoing due diligence. Late November into the 2nd week of December just may be an ideal time for a thorough review of all holdings and to tune up your portfolio. Our case studies, companies discussed in the Technical Analysis article, other content, and of course the stock pick lists represent all that the typical retail investor needs to get started needed. And remember, no one ever lost money selling for profit.
2018 may be a watershed year for the industry as the neighbours to the north usher in a nation wide legalized adult recreational market combined with the continued state by state legalization in the USA. California will be one to watch without doubt.
Until next time, is investing in the legal hemp and marijuana industry ideal for the prepared retail investor? You decide. Please have a wonderful holiday season and the staff at CannaInvestor Magazine will continue connecting the dots so you don’t have to. Invest long and prosper.
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