There is no best trading hour. Backtests and statistics of five different futures contracts reveal that most of the price action is random throughout the trading day. However, by implementing one or two extra variables, we find some potential trading edges or strategies. Which trading hour is the best? Does the time of day make…
The January Barometer is a seasonal trading strategy that worked over many decades. While the traditional January Effect seems to be arbed away, the January Barometer has worked well for many decades. This is the January effect that works – the January Barometer. What is it all about? Let’s find out: The gain in January determines the…
The phrase “Sell Rosh Hashanah, Buy Yom Kippur” has been a cornerstone of trading “folklore” for decades, at least since Eisenhower was president. Its origins trace back to a belief that September, when these Jewish holidays typically fall, is a tumultuous period for stocks. This notion is not without merit. Historical data reveals that September…
Yom Kippur is one of the most important days in the Jewish calendar. However, it is not an official holiday and the market remains open during those days. So the question is, does the market perform well during Yom Kippur? Can we develop a profitable Yom Kippur trading strategy? The short answer is no, the…
Martin Luther King Jr. Day is one of the federal holidays observed in the US. How does it affect trading on the US stock markets? The US financial markets do not open on Martin Luther King Jr. Day, which is the third Monday in January. No trading takes place on any of the U.S. stock…
Bitcoin is traded 24/7 and there exists a few seasonal patterns. For example, being invested from 5 PM to 7 PM any day has paid off well, and so has being invested on certain days. Let’s look at a Bitcoin intraday seasonality trading strategy. In this article, we are going to explore the seasonality of…
What are the best days to trade stocks? The best days to trade stocks are Tuesdays, the first days of a month, the last days of a month, and the end of the year (4th quarter). Becoming a proficient trader involves recognizing when it’s best to trade, making it crucial to identify the art of…
There are many seasonals in the financial markets. Today, we are looking at the performance for stocks, bonds, and gold when a new year starts. Is there a start of the year rally? Related reading: 30 Seasonal Trading Strategies Analysis Start of the year rally – trading rules In this article, we make the following…
Rosh Hashanah in commonly known as the Jewish New Year. This, of course, means a lot for Jewish people, who celebrate it during a three-day holiday. But during that timeframe, the market is generally open. Can we make a profitable Rosh Hashanah trading strategy? The stock market does not perform well during Rosh Hashanah. For…
New Year’s Eve is often a time for optimism and celebration. Does this spill over to the stock market? Is there a New Year’s eve effect in stocks? There is no particular seasonal New Year’s Eve effect in stocks, but we see a positive return over the first few trading days of a new year. …
