Now that May is here (where has the year gone?), it is time for one of the most legendary Wall Street axioms to take center stage. Here are just a few recent stabs (and a few links) at the statistics.
Is it Fact or Fallacy? It seems the axiom “sell in May and go away” in itself is a rather doubtful basis for timing equity investments.
Massive stock tease? I believe the current rally will prove a massive stock tease.
Those who do not learn from history… But just because it [the market] is weaker does not necessarily mean it tends to go down.
Not such a good idea? The old “sell in May and go away” adage may be only partially true this year: Investors may sell a bit but aren’t likely to stray very far after they do.
Superstition? You’ve probably that before, and it sounds especially tempting if you want to summer in the Hamptons.
And the Crosshairs Trader charts for the major indices REVEAL NO STRONG SIGN OF AGREEMENT ONE WAY OR THE OTHER.
DOW CHART AT FEBRUARY RESISTANCE?
S&P 500 CHART BREAKING OUT OF FEBRUARY RESISTANCE TO FIND NEW SUPPORT AT ITS FEBRUARY HIGHS?
THE NASDAQ CHART IS ENCOUNTERING MAJOR RESISTANCE AT ITS 200 SIMPLE MOVING AVERAGE.
Looks like we have a wait and see period in the market and a wait and see for the “sell in May and go away”. I am sure we will know soon enough. The market can’t hide for very long.
TRADING IS WAR. PREPARE YOUR WEAPONS.