I don’t have any sell
signal, market top indicators in place, or any other reason to move to 100% cash other than gut feeling. Yesterday I had an opportunity to exit and unburden myself from whatever hijinx may be coming our way and I opted to stay invested…even buying more
stock at the
close which some would say was
risky given the scenario.
Today I decided to exit the gates and be a spectator for the first time in awhile. For the record I’m still bullish, but I like the idea of going out on a high…sort of like the alternate Brett Farve did…not the one currently running the Vikings into the ground.
| The market has historically done well on election day (the Tuesday after the first Monday of November) and during election week. Since 1900, the Dow has averaged a gain of 0.28% on election day versus the average change of 0.03% for all trading days since 1900. We used the following day’s change prior to 1970 since the market was closed on election day. If we only go back to 1970, the average change for the Dow on election day has been 0.53%. Looking at the entire week surrounding election day, the average change has been very positive as well at 0.90% with positive returns 17 out of 26 times. (Note: The market was closed during election week of 1914 due to World War I.) |
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