CluenexGlossary · Pro tools
Seasonality
How a stock has done in each calendar month, averaged over past years.
Why it matters
Some businesses have seasonal sales and some markets have habits, like weak Septembers. Seeing the history month by month shows whether a pattern exists at all.
How to read it
Look at how many years were up, not just the average: one huge month can make an average look good. With ten years of data, most patterns are chance, so never trade on seasonality alone.
Related
In the Cluenex app, this explanation opens next to every seasonality figure, with the live reading for the stock you are looking at. Open it in Cluenex