RBC - Stay Invested

Royal Bank of Canada 

Fundamentally and due to the size of the company, it is essential to be part of this story until some one trades in Canada. Company can expect improved earnings from wealth management segment due to increase in equity valuations across the board. High earnings in the capital market segment due to fixed income trading may not be sustainable.

Technically, it makes sense to time the Royal bank trades based on 100 day SMA (if friction cost is minimal) or 200 day SMA if friction cost is significant. As it improves the expected return by more that 120% annually as compared to Buy and hold strategy. In very short term, can book some profits if, bought at bottoms, if you have missed the opportunity then stay invested until it trades above 100 day SMA and with average volume of 1.5 million. If it breaks this MA or trades with declining volume, this might be a good time to review the positions.

I will keep tracking it and will let you know the time to exit.