Trading the Stats: November
by
, 10-28-2015 at 11:17 AM (1360 Views)
When ranking the best month(s) of the year, I calculate the individual rankings for each of the categories listed below, add them together, then rank the sums of each different month against each other. I do inverse the Average Negative Gains, so the smaller number ranks 1st
Winning ratio (how many time the index closed up)
Average gains (the overall average gains of the month for every year counted)
Average Positive gains (only counts months which closed positive)
Average Negative gains (only counts months which closed negative)
Statistically speaking, November is a very special time of year for the long-term investor
The Month of November ranks as the 3rd best month of the year
2nd best winning ratio, 4h best average positive gains, 3rd best average gains, and 8th best average negative gains
For the 2-Month performance, November ranks as the best 2-Months of the year
1st best winning ratio, 5h best average positive gains, 1st best average gains, and 2nd best average negative gains
For the 3-Month performance, November ranks as the best 3-Months of the year
3rd best winning ratio, 2nd best average positive gains, 1st best average gains, and 3rd best average negative gains
No thank you to February, for the 4-Month performance, November ranks as 10th best 4-Months of the year
6th best winning ratio, 6th best average positive gains, 11th best average gains, and 12th best average negative gains
For the 5-Month performance, November ranks as 2nd best 5-Months of the year
5th best winning ratio, 3rd best average positive gains, 2nd best average gains, and 4th best average negative gains
Finally, we get to the best 6-Months of the year
For the 6-Month performance, November ranks as the best 6-Months of the year
It has the best winning ratio, 3rd best average positive gains, the best average gains, and the best average negative gains.
Stay invested…Jason