Hydrogen Investing and What Linde’s Historical Trends Reveal
Dear investor,
You have probably already given some thought to which drive system your next vehicle should be equipped with. Should you continue to rely on tried and tested combustion technology? Use the up-and-coming electric technology and accept the as yet immature infrastructure? Alternatively perhaps you are considering using the hydrogen drive that is being touted for the future, although it is not yet known whether and how this will become established? Either way, the consumer, and therefore you, will decide through your consumption behavior which option we will have to deal with in the future.
In any case, hydrogen technology is considered to have a promising and safe future. Linde plc, which was founded in Germany, is a company that is involved in green hydrogen, among other things, and is investing heavily in this area as part of the energy transition. Founded by Carl von Linde in 1879, the company had its administrative headquarters in Wiesbaden for many decades and relocated to Ireland following its merger with Praxair (USA) in order to restructure its tax structure. However, the NYSE in the USA has become the new stock exchange home market.
Even if the trend is upwards, you can benefit from special phases
The long-term trend for Linde shares has been upwards for many years. Interim setbacks were usually short-lived. As an investor, you can take advantage of some very special phases in the course of the year.
One of these small but significant upward movements has just begun. In the period from July 16 to August 1, for example, an average of 4.75 % can be achieved in 21 out of 33 years for this short period. In the negative 12 years, on the other hand, the average loss is just over 3%. This period with the corresponding time stop on August 1 can therefore be used well for trading.
However, if you are looking for a better performance and want to wait until the fall, the period from October 9 to November 8 is more suitable. Not only can an even better ratio between positive and negative years be achieved here at 27 positive years to 6 negative years. The performance in the positive years is also impressive at almost 6.5% on average. In the 6 negative years, on the other hand, there was an average loss of only 3.5%.
Go one better in spring
Anyone who is still not convinced by these figures will find an offer in the spring that is hard to refuse. From March 1 to May 2, the probability of making a profit is even better. Only 5 of the last 33 years have seen a loss. The positive 28 years, on the other hand, show an average profit of over 10 %.
When things don’t go so well
If you are not on the winning side of these positive developments over the course of the year, you have still invested in a share that has shown a low-volatility upward trend over a very long period of time. Contrary to the general rule of “never turn a trade into an investment”, the position can be held for the longer term without necessarily any great risk.
Why not take advantage of the downward trend to go short?
Linde’s Seasonax chart also shows a number of periods that at first glance appear to be suitable for short speculation. However, a clear warning must be issued at this point. On the one hand, speculation would be made against the long-term upward trend. Secondly, the phases in the chart look better for a short than they actually are. It is usually individual years that drag down the average performance and the ratios are not as clear as they appear at first glance. Therefore, one should concentrate on long speculation with Linde.
Win either way with Linde and bet on the future
The long-term trend for Linde is seems to pointing higher. Regardless of whether you want to place a trade for a short time or are looking for a favorable entry point for your investment, you can use the seasonal characteristics to find the optimal time for a successful time with Linde. The Seasonax charts also give you the opportunity to define clear stop prices and, in the case of short-term speculation, to set a time stop.
Win with Seasonax and participate in the next generation of drives
It is not a foregone conclusion that hydrogen technology will prevail. However, Linde’s broad diversification should easily cushion any other development in the mobility strategy. In any case, the long-term trend of the share speaks for the management and the foresight shown here. With Seasonax you can optimally plan your entry point into Linde.
We wish you every success in selecting your next drive system and making the right entry into the market and, perhaps, into Linde.
Use Seasonax for your professional handling of seasonal trends!
Yours sincerely,
Christoph Geyer, CFTe
Winner of the AktienAnalystenAward Technical Analysis
