Wednesday, September 19, 2012

A Seasonal Strategy ("Halloween indicator")- a confirmation that the famous rule is no longer valid


What expressed in this article

A Seasonal Strategy With Leveraged ETFs


The Halloween anomaly has been analyzed since 1964. Emerging markets and other shorter time series have been studied since 1969.  [...]
The stocks are purchased on October 1 then retained until May 1 of the following year. Research has indicated that in buying the Standard & Poor’s 500 and holding from 2001 to 2010, the portfolio would have gained about 7% over this period. A buy & hold strategy would have produced -1%.

This is nothing more than a strong confirmation of what I wrote in this post, about 1 year ago
Any source

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