Christmas Day is one of the federal holidays in the US. But how does it affect the US financial markets? Is there a Santa Claus rally in stocks? Can we develop trading strategies for this holiday season? Our trading strategy backtests reveal that there is a Santa Claus rally in the stock market. The stock…
Can we develop a Thanksgiving holiday seasonal trading strategy? Thanksgiving Day is one of the federal holidays in the US. The day after Thanksgiving is called Black Friday and is a day when consumers go on a shopping spree. But how does Thanksgiving affect the US stock markets? Yes, our backtests reveal that stock market…
Given that the Super Bowl is such a big event for Americans, can we spot any seasonal trends before and after the event? Is the Super Bowl bullish or bearish for stocks and bonds? Is there a Super Bowl indicator? The stock market performs best after in the days after the Super Bowl final with…
France is the seventh largest country in the world by GDP, making it one of the most important stock markets in the world. They have some of the biggest companies in the world, such as Louis Vuitton, Hermes, Dior, and Sanofi. However, we are traders, not investors, so let’s look at some trading strategies for…
The options expiration happens on the Friday before the 3rd Saturday of each month in the US. An often referred to effect is the options expiration week effect. Is this effect real, or is it just a myth? In this article, we test the option expiration week effect: S&P 500 shows above-average returns during the…
Many investors focus on searching for seasonalities in the US stock market. However, seasonal patterns can also be exploited in international stock markets. Today we will show you a seasonal trading strategy for the German stock market. It is based on previous performance and has performed better than buy and hold since inception. In this…
There are many seasonal patterns in the US market. For example holiday effects, the end of month effect, the first day of month, and, of course, the ‘Sell in May and go away’ strategy. However, there is also a investing only in winter seasonality. However, today we will be looking at a variation of the…
Is it smart to own stocks over the weekend? On of the biggest financial websites writes that the weekend effect is a phenomenon in financial markets in which stock returns on Mondays are often significantly lower than those of the immediately preceding Friday. Is it correct? Let’s find out if there is a particular weekend…
Is there a distinct trend in the U.S. stock market’s returns during the closing days of calendar quarters? Do investment funds strategically allocate cash to drive up stock prices to enhance portfolio values in quarterly reports? Is there a unique end-of-quarter effect strategy that can be differentiated from the turn-of-the-month strategy? In short, is there…
Research shows higher stock market returns from November through April than for the rest of the year. Can we confirm that there is a Halloween effect in trading? Yes, there is a Halloween effect in trading. From November to April, stocks perform significantly better than the rest of the year. Let’s dig a bit deeper…
