Purpose – The purpose of this paper is to assess the performance of a contrarian investment strategy focusing on frequently traded large-cap US stocks. Previous criticisms that losers’ gains are not due to overreaction but due to their tendency to be thinly traded and smaller-sized firms...

Purpose – The purpose of this paper is to critically review the literature on contrarian and momentum trading strategies and identify areas for future research. Design/methodology/approach – Critical review and discussion of the literature. Findings – The extant literature is dynamic and...