Alcoa (AA) kicks off the Earnings Season in the S&P500 each quarter. Here is a chart of the first month of "earnings season" which starts when AA announces.
Alcoa appears to be negatively correlated to the market, which goes against conventional wisdom. If you look at how Alcoa is positioned between earnings reports, you can see that if Alcoa is down in price between earnings reports it has been good for the market. When Alcoa is up between earnings reports, the first month of earnings season has been weak or down.
A RISING ALCOA has led to weak first month of earnings season SPY price action.
Tim 4/7/2015 3:48PM EST 207.64 last SPY, 13.44 Alcoa (AA)
Comments
cmharkey
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Not to prognosticate on the concept...but would this mean that since Alcoa is down currently (from the spread to last quarter to this quarter) it would mean there's a potential that S&P goes up after this weeks announcement?