After Christmas Sale for Stocks

Christmas came early for stock buyers this morning. This was the worst open for a New Year since 1932. Thankfully by the time the markets closed it was only the worst open for the last 8 years. January is normally a great month for the stock market so when it opened up down so much it was a great buying opportunity. The RSI index that I follow was down in the 30’s also a very good sign for buying stocks. We started buying late in the day after the market selloff subsided. This year should be a much better year than last year for stocks, after all it is an election year and the odds are in your favor for an up year. Since 1928 there have been 22 Presidential election cycles; out of the 22 only 4 have been down years. That means you have about an 82% chance that this year will be an up year. We were given a gift of lower prices this morning. Christmas came early in 2016.