6/8/17 As you know the period between May 1st and October 31st is historically the worst six months of the year. We have never been a fan of the “sell in May and go away.” However, we cannot argue with the fact that since 1950 the DJIA has had an average return of only 0.3% during the May-October period compared with a gain of 7.5% during the November-April period.
However, it is interesting to note that when the S&P gains 7.5% or more through Day 100, the worst six months of the year were not all that bad. As you can see by the printout, the Dow gained an average of 4.3%, which is actually above average for a six-month period because dividends were not factored in.
In our opinion, the first 100 days represent a viable strategy.
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.