*This post was originally published on Mothers Day May 8, 2011. The Dow went up 45 points the next day, Monday May 9th. This is typical for the day after Mothers Day. Enjoy!
Today is a Day we remember and thank Mom for everything she’s done for us. I know I was quite the handful growing up. My Mom lives in Miami with the rest of my family and I’m up in New York City trying to take over the world. She gets it, but it’s a little tougher on days like today. That’s where Skype and Facetime on the iPhone come in handy.
Back in Elementary school Mom used to make me get up early on the days of big exams to go over my notes and be extra prepared for the tests. Now I get up early on my own to look over my charts and futures markets to prepare for the trading day ahead. How about that Mom? Thanks for good habits.
Perhaps I’m not the only one who is thankful. Mothers Day has also had a positive impact on the Market. If you take a look at some of the numbers, you’ll find that over the past 21 years the Dow Jones Industrial Average has advanced 81% of the time on the Monday after Mothers Day for an average gain of 0.6%. I understand that correlation does not imply causation but over the years the Monday after Mothers Day has fallen somewhere between the 9th and the 15th days of May. So there a bullish bias this time of year. Take it for what it’s worth. We’re not making trading decisions based solely on this information, but it’s interesting to note how positive traders act after spending the day with Mom.
Here are the numbers from the Stock Traders Almanac. Last year the Dow went up over 400 points the day after Mothers day. Keep in mind that it was a temporary recovery just after the flash crash, but 400 points is 400 points. I’ll be keeping en eye on the futures tonight before bed to see if history can repeat itself.
Happy Mothers Day to all the Moms out there. We wouldn’t be here without you!
Day after Mothers Day Historically Bullish (Stock Traders Almanac)