My friend believes the saying - "Sell in May". So, he sold most of his stock and bought some "Bear Funds". Is this a good strategy? I am not able to understand the saying "Sell in May". Big sell-off for past few days, makes to think it is true.
Seasonal patterns... Most of the gains from the major indices over the years have been made between November and April. May through October is traditionally a lower volume period with little movement. Sometimes it works. Sometimes it doesn't. Like most things in the markets.