TD Ameritrade Investor Movement Index: IMX Dips Amid Market Highs
06 December 2016 - 4:30AM
Business Wire
Net sellers lowered equity exposure during
election month
TD Ameritrade, Inc. (“TD Ameritrade”), a broker-dealer
subsidiary of TD Ameritrade Holding Corporation (Nasdaq: AMTD) is
today releasing the Investor Movement Index® reading for November
2016. The Investor Movement Index, or the IMXSM, is a proprietary,
behavior-based index created by TD Ameritrade that aggregates Main
Street investor positions and activity to measure what investors
are actually doing and how they are positioned in the markets.
This Smart News Release features multimedia.
View the full release here:
http://www.businesswire.com/news/home/20161205005962/en/
TD Ameritrade’s IMX (Credit: TD
Ameritrade)
The November 2016 Investor Movement Index for the four weeks
ending November 25, 2016, reveals:
- Reading: 5.53 (compared to 5.83 in
October)
- Trend direction: Negative
- Trend length: 1 month
- Score relative to historic ranges:
High
The IMX fell 5.15 percent to a score of 5.53 as markets reached
new highs. A slight uptick in actual volatility of the S&P 500
during the period reduced the relative volatility of many widely
held names in TD Ameritrade accounts, like Apple Inc. (AAPL), and
net selling also helped clients rotate into lower exposure
positions, further pushing down the IMX reading.
“After the so-called post-election ‘Trump Bump,’ the holiday
shopping season started off on a positive note,” said JJ Kinahan,
chief market strategist for TD Ameritrade. “And interestingly
enough, Black Friday and Cyber Monday trading among our clients did
not follow the usual patterns where most of the top traded stocks
are Retail or Internet/Technology based companies. Several top
traded stocks were Natural Resources based (mining, steel, oil,
shipping), which could be driven by the President-elect’s plan to
spend $1 trillion on infrastructure.”
“We also saw decreasing prices on U.S. Treasuries in November,
which pushed their yields higher. These lower prices on current
U.S. Treasuries could be an indication that the markets are
anticipating a rise in the Federal Reserve’s key interest rate in
December.”
The dip in the IMX came during a period when all the major
equity market indices set new all-time highs. The Dow Jones
Industrial Average increased more than 5 percent while the S&P
500 and NASDAQ Composite each gained about 4 percent. The Russell
2000, which tracks a broad swath of small and mid-cap stocks, rose
more than 13 percent in November.
Airline stocks Southwest Airlines Co. (LUV), Delta Airlines
(DAL) and United Continental Holdings (UAL) were net sold as their
prices rose in November. A decline in crude oil prices from
October’s year-to-date highs appeared to have a positive effect on
airline companies’ share prices. Net selling also continued in the
financial sector for a second month. Both Citigroup Inc. (C) and
Bank of America Corp. (BAC) were net sold as their prices rose
sharply in November. In the basic materials sector,
Freeport-McMoran Inc. (FCX) and Chevron Corp. (CVX) each reached
new year-to-date highs and were net sold as well. Additional
popular names sold included Netflix.com Inc. (NFLX), Cisco Systems
Inc. (CSCO), and Wells Fargo & Co. (WFC).
Despite being net sellers of equities in November, TD Ameritrade
clients continued net buying in some of the names that have been
popular in recent months. Dividend payers Verizon Communications
(VZ) and AT&T Inc. (T) have seen net buying in the last two IMX
periods and were net buys again in November. Each saw their stock
prices rebound after declines earlier in the month. Facebook Inc.
(FB) and Amazon.com Inc. (AMZN) have also been popular buys. Both
companies’ share prices declined in November after setting
year-to-date highs in October. Net buying also occurred in both
Under Armour Inc. (UA) and Tesla Motors Inc. (TSLA) following their
earnings announcements in late October. Additional popular names
bought included Alphabet Inc. (GOOGL, GOOG) and Amgen Inc.
(AMGN).
About the IMX
The IMX value is calculated based on a complex proprietary
formula. Each month, TD Ameritrade pulls a sample from its client
base of 6 million funded accounts that includes all accounts that
completed a trade in the past month. The holdings and positions of
this statistically significant sample are evaluated to calculate
individual scores, and the median of those scores represents the
monthly IMX.
For more information on the Investor Movement Index, including
historical IMX data going back to December 2010, to view the full
report from November 2016, or to sign up for future IMX news
alerts, please visit www.tdameritrade.com/IMX. Additionally, TD
Ameritrade clients can chart the IMX using the symbol $IMX in
either the thinkorswim® or TD Ameritrade Mobile Trader
platforms.
Inclusion of specific security names in this commentary does not
constitute a recommendation from TD Ameritrade to buy, sell, or
hold.
Past performance of a security, strategy or index is no
guarantee of future results or investment success.
Historical data should not be used alone when making investment
decisions. Please consult other sources of information and consider
your individual financial position and goals before making an
independent investment decision.
The IMX is not a tradable index. The IMX should not be used as
an indicator or predictor of future client trading volume or
financial performance for TD Ameritrade.
For the latest TD Ameritrade news and information, follow the
company on Twitter, @TDAmeritradePR.
Source: TD Ameritrade Holding Corporation
About TD Ameritrade Holding CorporationMillions of
investors and independent registered investment advisors (RIAs)
have turned to TD Ameritrade’s (NASDAQ:
AMTD) technology, people and education to
help make investing and trading easier to understand and do. Online
or over the phone. In a branch or with an independent RIA.
First-timer or sophisticated trader. Our clients want to take
control, and we help them decide how - bringing Wall
Street to Main Street for more than 40 years.
An official sponsor of the 2016 U.S. Olympic and Paralympic
Teams, as well as an official sponsor of the National
Football League, TD Ameritrade has time and again
been recognized as a leader in investment services.
Please visit
TD Ameritrade's newsroom or www.amtd.com for
more information, or read our stories
at http://freshaccounts.amtd.com.
Brokerage services provided by TD Ameritrade, Inc., member FINRA
(www.FINRA.org)/SIPC (www.SIPC.org)
View source
version on businesswire.com: http://www.businesswire.com/news/home/20161205005962/en/
TD Ameritrade Holding CorporationFor Media:Kim Hillyer,
402-574-6523Communications & Public
Affairskim.hillyer@tdameritrade.com@TDAmeritradePRorFor
Investors:Jeff Goeser, 402-597-8464Investor Relations &
Financejeffrey.goeser@tdameritrade.com
TD Ameritrade (NASDAQ:AMTD)
Historical Stock Chart
From Apr 2024 to May 2024
TD Ameritrade (NASDAQ:AMTD)
Historical Stock Chart
From May 2023 to May 2024