evil monday, page-24

Here are some interesting seasonal stats for the American SP500 for May:

Day One (Last Friday): Up 59% of the time
Day Two (Today Monday): Up 72%
Day Three (Tuesday): Up 56%
Day Four (Wednesday): Up 38%
Day Five (Thursday): Up 38%
Day Six (Friday): Up 44%

On those stats we could expect today to be up - presuming that we pre-empt the U.S. market. But by the end of the week we should be down.

However, we were marginally weaker on Friday - so the start of the month was atypical for us. The U.S. was up - but not strongly.

In George Angell's book, "Sniper Trading", he suggests that a "buy" should only be considered on Mondays if the 5-Day LSS Strength Number is between 65-94.5%. The 5-Day LSS Strength Number for today is 55.6%. (The 5-Day LSS is based on open/close/highs/lows for the past five days.) So this criterion has not been met. This doesn't mean that the XJO can't be up - but the probabilities are not strong.

So - take those for what they are worth. Maybe nothing - maybe something to keep in mind if the market is up at the beginning of the day.

Cheers
Red