Study Shows Avoiding Volatile Market Days Can Beat Buy-and-Hold Returns
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Market timing can beat buy-and-hold returns if you avoid both the best and worst trading days, reducing risk.
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This year, 6 of the 16 best/worst days occurred during a 14-day stretch from March 3-22.
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Volatile trading sessions tend to cluster together, making it possible to avoid them.
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A study found avoiding volatile sessions beats the market on a risk-adjusted basis.
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Over 1928-now, avoiding best and worst days beat buy-and-hold even before adjusting for risk reduction.