What does the statistics say and where to look for profits in September?

Statistics show that September is a tough time for global stock markets. Since 1990 SP500 has risen on average once every 4 months. Currently, however, SP500 is not the best trade. Over the past 28 years, the Canadian TSX Composite has decreased by an average of 1.28%. Combining the statistics with the current fundamental concerns raised by the NAFTA talks and the US-China trade war, short-s appears inevitable.

Technical TSX Composite remains on the upside trend and is now reaching good buy-in levels. Given the above, however, it's a good idea to wait for a stronger bottom, then look for a long position. On Tuesday, NAFTA talks will be resumed this week, and traders will focus on them. If this week we do not see a solution to the pact, traders will start accumulating The Worst Case Scenario, and the fall in September will be far above the average -1.28%. If we judge the indicators, September's downgrade is already in force, Sequential counts a score of 13 underneath, indicating a new downward impulse.

Source: FxLive

Charts: Used with permission of Bloomberg Finance L.P.

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