What happens in January matters for the rest of the year.

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What happens in January matters for the rest of the year. 


Today, stocks are in a clear uptrend. Take a look...

You can see stocks' incredible performance since the October low. And you can see their huge January returns as well. Stocks have finally gained some upward momentum for the first time since the start of the bear market.

That's good news for investors in the months ahead... especially since last month was so strong.

You can see it in the table below. Going back to 1950, it shows what January performance means for stock returns in the months that follow...

Over all periods, stocks have typically jumped 6.8% in the final 11 months of the year. And the market has moved higher 75% of the time. What happens in January has a massive effect on those returns, though...

A positive return in January led to 11.3% gains over the rest of the year. And the win rate jumped to 86%. Meanwhile, if January was a loser, the rest of the year was barely in the green, rising just 0.7%... And the odds of a positive year dropped to 60%.

This data tells a clear story... What happens in January matters for the rest of the year.

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