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Best Day of the Week Captures 75x S&P 500 YTD Gains
By, Simon Maierhofer
Wednesday April 16, 2014
Mirror mirror on the wall, which is the fairest day of all? A curious statistic shows that the strongest day of the week captured 75x the 2014 S&P 500 gain. While this may be a nuisance stat, there’s also a more helpful one.

Here’s an interesting off the wall factoid:

Trading at 1,850, the S&P 500 (SNP: ^GSPC) is up 0.09% year-to-date (YTD).

If Wall Street were only open on Tuesdays, the YTD S&P 500 (NYSEArca: SPY) gain would be 6.80%. In 2014, Tuesday is the only profitable day of the year.

The first chart shows the S&P 500’s YTD performance in daily bars and percentage.

The second chart shows the S&P 500’s performance by day of week.

Why do Tuesdays hog all of the gains? Who knows?

We do know that this is a 2014 phenomenon. Historically, Wednesday is the best day of the week (by a small margin) and Monday by far the worst day of the week (based on data going back to 1952).

I would categorize this anomaly as curious, not predictive.

But there are other incredibly helpful patterns.

For example, historical price action shows strong bearish seasonal forces arriving in April.

Here’s an S&P 500 seasonality chart that shows seasonality dropping off a cliff:

Historic S&P 500 Seasonality is About to Turn Ugly (hint: look at date of article)

Simon Maierhofer is the publisher of the Profit Radar ReportThe Profit Radar Report presents complex market analysis (S&P 500, Dow Jones, gold, silver, euro and bonds) in an easy format. Technical analysis, sentiment indicators, seasonal patterns and common sense are all wrapped up into two or more easy-to-read weekly updates. All Profit Radar Report recommendations resulted in a 59.51% net gain in 2013.

Follow Simon on Twitter @ iSPYETF or sign up for the FREE iSPYETF Newsletter to get actionable ETF trade ideas delivered for free.

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