Economic Calendar - Top 5 Things to Watch This Week By Investing.com (2024)

FAQs

What is the Monday effect in the stock market? ›

The Monday Effect is a theory in finance that the prevailing trends in the stock market on Friday will continue into Monday. In very simple terms, if the market is up at close on Friday, it'll continue to go up at the open on Monday, and vice versa.

Day of the week effect is a phenomenon according to which the average daily return of the market is not the same for all the days of the week, as it would be expected according to efficient market theory.

Stock prices fall on Mondays, following a rise on the previous trading day (usually Friday). This timing translates to a recurrent low or negative average return from Friday to Monday in the stock market.

The United States is the undisputed heavyweight when it comes to the economies of the world. America's gross domestic product in 2022 was more than 40% greater than that of China, the world No. 2. Even more striking, U.S. GDP was over five times that of the next two largest economies, Japan and Germany.

Timing the stock market is difficult, but understanding when to trade stocks can help your portfolio. The best time of day to buy stocks is usually in the morning, shortly after the market opens. Mondays and Fridays tend to be good days to trade stocks, while the middle of the week is less volatile.

For short-term traders, Fridays are usually considered good for selling the stock. For buying stocks, Fridays aren't preferable as prices tend to be high. Mondays usually have lower stock prices historically. Therefore, some traders prefer to buy stock on Monday.

Yes, typically, the middle of the week, particularly Tuesday through Thursday, offers the most movement in the market. Mondays can be slower as the market stabilizes after the weekend, and Fridays often see reduced activity as traders close positions before the weekend.

Stock markets tend to rally on Friday due to short covering by traders to avoid paying interest on a short position over the weekend, as well as on any optimism traders might have for market-positive news during the weekend.

During a bear market, Mondays and Tuesdays are most volatile, and stocks tend to fall the most on these days. In contrast, Thursdays are good days to sell because stocks tend to rise during that day of the week.

What is the 10 am rule in stock trading? ›

Some traders follow something called the "10 a.m. rule." The stock market opens for trading at 9:30 a.m., and the time between 9:30 a.m. and 10 a.m. often has significant trading volume. Traders that follow the 10 a.m. rule think a stock's price trajectory is relatively set for the day by the end of that half-hour.

It is not a hard and fast rule, but rather a guideline that has been observed by many traders over the years. The logic behind this rule is that if the market has not reversed by 11 am EST, it is less likely to experience a significant trend reversal during the remainder of the trading day.

The S&P 500 index is up about 9% so far this year, but not every stock market trading day is created equal. A new analysis from Bespoke Investment Group finds that Fridays have been the best day so far this week, with an average daily gain of +0.34%. Tuesdays, on average, were the worst.

The 3-Day Rule in stock trading refers to the settlement rule that requires the finalization of a transaction within three business days after the trade date. This rule impacts how payments and orders are processed, requiring traders to have funds or credit in their accounts to cover purchases by the settlement date.

As one of the most accurate calendar systems in the world, the Solar Hijri calendar is also known as Persian Calendar, Iranian Calendar, and SH Calendar. Solar Hijri calendars rely on the movement of the Earth around the Sun to calculate time.

The Revised Julian Calendar

With an error of only about 2 seconds per year or 1 day in 31,250, it is roughly 10 times more accurate than today's Gregorian calendar and one of the most accurate calendar systems ever devised.

The ancient Iranian Solar calendar is one of the oldest calendars in the world, as well as the most accurate solar calendar in use today. Since the calendar uses astronomical calculation for determining the vernal equinox, it has no intrinsic error.