Wednesday, October 05, 2011

October: Bear or Bull Month?

October. This is one of the peculiarly dangerous months to speculate in stocks. The other are July, January, September, April, November, May, March, June, December, August, and February. ~ Mark Twain
October is supposed to be one of the worst months for the stock market.   People remember the declines of October 1987, October 1997 and October 2008. But the article October: Stock Market Myths and Legends points out that October is the sixth best month since 1958.  In addition, October has marked the end of many bear markets.  Finally, October precedes three (November, December and January) of the best four months for stock market gains, making it the month to buy.

So I guess it's best to be cautious in October and be ready to buy when the market drops :-)
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This is not financial or investing  advice. Please consult a professional advisor.

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1 comment:

Financial Independence said...

Hi there.

I think there will be no great recession, it just keep dragging on for next ten years or so...

The only thing is - time to sell Apple will come soon.