What is hungry ghost month? What are the ghost month’s effect to stock investing? Anthony wants to know if buying and selling stocks during the hungry ghost month is good or bad. Here is his question via email;
I will receive extra cash on the first week of August and my plan is to buy another stocks. Is this advisable? Is buying stocks during the ghost month (beliefs of Chinese people) good or bad?
Hungry ghost month? Have you heard about it? You thought that the hungry ghost month is on November 1 (the All Saint’s Day) where in there are festivals among Christians wearing scary make ups and clothes. For Chinese/Buddhist, the Ghost Month is the belief when the ghost will come back to human world. The ghost month is August of every year.
There is belief that during ghost month, there are bad luck on business, investments, etc. Should you believe it? If you’re Chinese, maybe. If you’re a stock market investor, what should you do? Should you keep on buying stocks or sell your stocks and wait for the Hungry Ghost Month to end.
Is Buying Stocks During Hungry Ghost Month Good or Bad?
First and foremost, you should know by this time what kind of investor are you. A trader or a long term investor? Do you invest in forex, business, stocks, real estate or investing in different types of investments.
If you know your investing and financial goal. You should only focus on that goal. However, when it comes to investing ,”the market” is affected when many investors are getting panic to a specific event; example of these events are Presidential Elections, Natural Disasters and even the Hungry Ghost Month.
Answer: During the Hungry Ghost Month; keep on buying stocks these month because stocks prices will decrease. You will the chances to buy more stocks because the stock prices are low.
You can sell your stocks when the prices will go up. Always check the prices of your stocks after the Hungry Ghost Month. (maybe first week of September up to November) the stock prices will increase.
After Hungry Ghost Month Effect
After August, the month of September, October, November and December. Businesses will then sell their products with huge discounts. Have you ever noticed that during these months, there are lot of “Sales” in the malls and in United States, there will be a “Cyber Friday” – wherein, small items to big stuffs are on sale.
So, don’t get panic during the Hungry Ghost Month. Always focus on your investment goal. Use dollar cost averaging and you’ll take big advantage during ghost month. Say something about the effect of Ghost month in your business and investments.