Hannover Rück (HNR1) is one of the world’s leading reinsurance companies, headquartered in Germany. The company provides reinsurance solutions across various lines of business, making it a key player in the global insurance industry. With a strong track record of profitability and a solid market position, Hannover Re is often on the radar of investors.
A Strong Seasonal Pattern in March
One particularly interesting seasonal pattern in Hannover Re’s stock price occurs in March. Over the past 20 years, the stock has shown a remarkable tendency to rise between March 14 and April 2. In 18 out of these 20 years (a 90% win rate), the stock has delivered an average gain of 4.1% during this period.
This strong historical performance suggests a potential trading opportunity for those who follow seasonal trends in the stock market.
How to Execute the Trade
For traders looking to capitalize on this pattern, the execution is straightforward:
- Entry: Buy Hannover Re shares on or around March 14.
- Exit: Close the position on or around April 2.
- Risk Management: While the historical performance is strong, using a stop-loss (e.g., 2% below entry price) is recommended to manage risk.
- Position Sizing: Allocate a reasonable portion of capital to this trade, ensuring diversification within the portfolio.
| Status | Change | Percentage | Start Date | Start Price | End Date | End Price |
|---|---|---|---|---|---|---|
| UP | $11.60 | 4.9% | 03.14.2024 | $238.90 | 04.02.2024 | $250.50 |
| UP | $7.0000 | 4.1% | 03.14.2023 | $168.75 | 04.03.2023 | $175.75 |
| UP | $0.7000 | 0.5% | 03.14.2022 | $151.00 | 04.01.2022 | $151.70 |
| UP | $4.2000 | 2.8% | 03.15.2021 | $151.80 | 04.01.2021 | $156.00 |
| UP | $10.20 | 8.9% | 03.13.2020 | $114.60 | 04.02.2020 | $124.80 |
| UP | $2.0000 | 1.6% | 03.14.2019 | $128.00 | 04.02.2019 | $130.00 |
| UP | $0.5000 | 0.5% | 03.14.2018 | $109.90 | 04.03.2018 | $110.40 |
| UP | $2.0900 | 2.0% | 03.14.2017 | $106.19 | 04.03.2017 | $108.28 |
| UP | $0.7200 | 0.7% | 03.14.2016 | $101.20 | 04.01.2016 | $101.92 |
| UP | $4.6500 | 5.0% | 03.13.2015 | $92.37 | 04.02.2015 | $97.02 |
| UP | $5.9700 | 10.0% | 03.14.2014 | $59.50 | 04.02.2014 | $65.47 |
| DOWN | $2.0300 | 3.2% | 03.14.2013 | $63.81 | 04.02.2013 | $61.78 |
| UP | $2.3200 | 5.5% | 03.14.2012 | $42.05 | 04.02.2012 | $44.37 |
| UP | $3.8000 | 10.6% | 03.14.2011 | $35.75 | 04.01.2011 | $39.55 |
| UP | $3.1200 | 9.1% | 03.15.2010 | $34.15 | 04.01.2010 | $37.27 |
| UP | $2.0500 | 8.4% | 03.13.2009 | $24.36 | 04.02.2009 | $26.41 |
| UP | $3.5800 | 11.7% | 03.14.2008 | $30.62 | 04.02.2008 | $34.20 |
| UP | $1.3000 | 4.1% | 03.14.2007 | $31.82 | 04.02.2007 | $33.12 |
| UP | $1.9400 | 6.7% | 03.14.2006 | $29.14 | 04.03.2006 | $31.08 |
| DOWN | $1.4000 | 4.4% | 03.14.2005 | $32.00 | 04.01.2005 | $30.60 |
Risk Disclaimer
Although the historical data suggests a strong seasonal pattern, past performance is not a guarantee of future results. Market conditions, macroeconomic factors, or unexpected events can impact stock prices. Traders should conduct their own research, consider their risk tolerance, and use appropriate risk management strategies before entering a trade.
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