Tuesday, May 29, 2012

A Long-Term View of Memorial Week

The week of Memorial Day has shown some bullish seasonal tendencies over the years.  This can be seen in the chart below.

There was no substantial edge apparent throughout the 70s, but starting in 1983 you’ll note a bullish tendency.  The last 2 years have not followed suit, though.  A more detailed breakdown of Memorial Day week was shown in this weekend's Subscriber Letter.  (Click here for a free trial.)


Johan Lindén said...

Picture isn't shown.

Rob Hanna said...

Not sure why you can't see it. I'm seeing it with my browsers...

Johan Lindén said...

Now it works.

Today we keep watching the S&P500 for a close >1% which will trigger a Follow Through Day.

But, I'm already long (XIV).

Daniel said...


The McClellan Oscillator is back comfortably over the zero line, for the first time in many days. It had triggered the -200 threshold, and even the -300 threshold. The capitulation-readout of your CBI made its round trip, went scary, and now has receded.

And we are now moving into a stretch of seasonally bullish days.

Can we contemplate that we may have just completed one of those "routine 10% corrections"? Or is this now the conclusion of the "sizeable bounce" everyone last week counselled was the oppty for shorting?

Please answer this question for your loyal readers.