Hottest Stocks in CW 26/22

‘Fear of missing out’ – or in short FOMO – is causing traders to purchase stocks which have already experienced significant price increases. This trading pattern could be observed with Zoom last week. The stocks of the software company rose by around 10 % week-on-week and landed in a whole range of wikifolios. Already at the beginning of June, Stefan Waldhauser (stwBoerse) bought shares in the video conferencing platform. He commented in his blog: "My theory is that Zoom can successfully evolve from a one-trick pony to an enterprise software vendor in the coming years due to its financial strength, and that Zoom stock is very attractively valued at the level of around $ 100 which it is currently at, after losing about 80 % of its price." The stock is currently weighted at 7.9 % in Waldhauser's wikifolio High-Tech Stock Picking.

The trading pattern ‘buying the dip’ is when traders buy falling stocks in the hope of a bottoming out - i.e. an imminent turnaround. This happened last week in the case of the Austrian steel manufacturer Voestalpine. The share price of the Linz-based group is currently down on a weekly, monthly, and annual basis. Above all, concerns about a potential breakdown in production in the event of a possible gas supply stoppage seem to be having a negative impact on the share price at present. The news that the company announced last week that it was currently filling its own gas storage facilities and would be able to maintain operations for several months in the event of an emergency was well received and the stocks promptly landed in several wikifolios.

The trading pattern of ‘taking profit’ - i.e. selling when the share price is rising - could be observed last week in the case of Aixtron. The stocks of the manufacturer of deposition systems for the semiconductor industry rose by 5.6 % week-on-week and was promptly sold from some wikifolios. The respective traders do not seem to expect further price gains.

Selling when prices are falling is what characterises the ‘jumping ship’ category. This fate once again struck – as in the previous week – the German copper manufacturer and recycler Aurubis. The performance of their stock has seen a negative trend on a weekly (-6.9 %), monthly (-17.1 %) and annual (-9.4 %) basis. Some wikifolio traders seem to expect further price losses and therefore sold their shares last week.

Disclaimer: Every investment in securities and other forms of investment is subject to various risks. Explicit reference is made to the risk factors in the prospectus documents of Lang & Schwarz Aktiengesellschaft (Final Terms, Base Prospectus together with supplements and the Simplified Prospectuses, respectively) at wikifolio.com , ls-tc.de and ls-d.ch. You should read the prospectus before making any investment decision in order to fully understand the potential risks and rewards of the decision to invest in the securities. The approval of the prospectus by the competent authority should not be construed as an endorsement of the securities offered or admitted to trading on a regulated market. The performance of the wikifolios as well as the respective wikifolio certificates refers to past performance. Future performance cannot be inferred from this. The content of this site does not constitute investment advice or a solicitation to buy or sell securities. This applies in particular to countries in which such an offer to buy or sell is not permitted. For further information, please refer to our General Terms and Conditions.