Over the last six months, Thursdays have become the market’s problem child.
Data from Bespoke Investment Group shows that over the last six months the S&P 500 (tracked by the SPDR S&P 500 ETF Trust (ARCA:SPY)) has averaged a 0.54% decline on Thursdays, by far the worst performance of any trading day during that period.
- SPY shares are moving. See the chart and price action here.
Friday hasn’t fared much better, slipping an average of 0.08%, while the first three trading days of the week—Monday through Wednesday—have all recorded average gains.
The pattern has been so consistent that it raises eyebrows among traders looking for short-term seasonal trends.
According to Bespoke’s six-month data, investors would have been far better off limiting exposure to just the first three days of the week.
Hypothetically, an S&P 500 strategy that bought at the …
This post was originally published here
