Tag Archives: Sell in May and go away

Bluff in May and Sell in June

On May 3 of last year I wrote that “the market will punish those who sell in May and go away“.  And they were punished hard twice. First they chased the market and then they were squeezed out, only to see … Continue reading

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The Story of Market Price Action in the Last Six Months

This is the story of market price action in the last six months. No technical analysis, no algorithms, no probabilities, just plain reality. Share

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Early Sellers

Elections, fiscal cliff, Europe, Spain, Greece, wars, geopolitical threats, you name it. All these threaten market stability. But prudent investors are familiar with such uncertainties and, unlike nervous speculators, know that in the longer-term they do not impact significantly the markets … Continue reading

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Bulls are Right Even When They are Wrong

Bulls are proven right lately even if the fundamentals are not sound and even if the ECB is playing games with a newly invented buzzword in an effort to mask sterilized operations on the short-term side of the yield curve as anything that can … Continue reading

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NASDAQ 100 in Overbought Territory Just 11 Points Away from its April High

Is the punishment of the “Sell in May and go away” herd going to continue with major US market indices breaking and staying above their April highs? When I wrote back in May of an absurd rule some attemtp to turn into a self-fulfilling prophecy my intention … Continue reading

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Markets Reward Risk Takers

The recent price action in S&P 500 index is another proof that markets reward risk taking and punish risk aversion. We all know this principle but few are able to actually use it to profit. Those who did not enter the market in early … Continue reading

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Massive Money May Start Chasing the Market

Another self-fulfilling prophecy may fail soon and those who “sold in May and went away” may start returning back to the market and chasing it. I warned about this possibility in a post in the beginning of May. The strategy of basically trying to enforce a self-fulfilling … Continue reading

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The Market Will Punish Those Who Sell in May and Go Away

Those who “sell in May and go away” are the very same people that assign significance to this otherwise absurd rule. Throw the rule around and let it grow to a principle, wait for a few months for prices to fall … Continue reading

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