| Search by tag or site | Login to my blog ? Start my own blog |
 |
Amateur InvestorsEach week an Analysis of the Stock Market will be posted here by the people at Amateur-Investor.Net along with a specific stock to watch. |
Does The January Affect Work?
Over time several articles have mentioned the January Affect which is based on how the market finishes the month of January. For example if January finishes with a negative return then the market will end down for the year and vice versa.
I went back and looked at the Dow for the period from 1915 through 2007 to see what the actual results have been. The table below shows that when the Dow has had a positive January Return, 50 out of 61 cases (82%) were followed by a positive Yearly Return. On the other hand when the Dow had a negative return in the month of January 21 out of 32 cases (66%) ended up with a negative Yearly Return.
| January Affect (1915-2007) | ||
| Jan (+ Gain) | Jan (- Gain) | |
| Yearly Return (+) | 50 (82%) | 11 (34%) |
| Yearly Return (-) | 11 (18%) | 21 (66%) |
Based on these results the January Affect has been more accurate when the Dow finishes the month of January with a positive return versus a negative return at least going back to 1915.
If interested in receiving our Free Weekly Newsletter by email you can sign up at http://www.amateur-investor.net/Newsletter.htm
- Historical September Performance For The Dow
- Inflation Vs Dow Performance Since 1960
- Why Did The S&p 500 Find Support Near 1200?
- Does The January Affect Work?
- Summation Index Suggests Big Move Is Coming
- September 2008
- August 2008
- July 2008
- June 2008
- May 2008
- April 2008
- March 2008
- February 2008
- January 2008
- December 2007
- November 2007
- October 2007
- September 2007
- August 2007
- July 2007
- June 2007
- May 2007
- April 2007
- March 2007
- February 2007
- January 2007
- December 2006
- November 2006
- October 2006
- September 2006
- August 2006
NOTE: Please click on the charts below to enlarge them if [read more]
NOTE: Please click on the charts below to enlarge them [read more]
NOTE: Please click on the charts below to enlarge them if [read more]
<< My Home | TheMoneyBlogs Home