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SCHN: seasonally bullish!

|Includes:Schnitzer Steel Industries, Inc. (SCHN)

According to the 15 years of history, SCHN has shown a somewhat bullish edge that peaks 19 trading days after the 11th of June. Thus, the projected date for the peak of the bullish edge relative to the current event date (Thursday, 11 June 2009) is Thursday, 9 July 2009. SCHN rallies in 73% of the cases (11 of 15) by an average of 17.6% relative to the close on the event date. The average of the 4 declines is -2.9%. The overall return of the 15 cases is 12.2%, which, based on the close of SCHN on the event date (63.18), provides a target price of 70.89.

Note that the seasonal tendency is for the stock price to drop on the 12th - see the t+1 column below, so the time to get into this trade is today on any pullbacks or at the close. The stock has fallen on the 12th 60% of the time by an average of 0.7%. When it has dropped, it has fallen by an average of -2.7% vs. the rallies which averaged 2.6%.
 

Stocks: SCHN