Right on que the seasonal weakness (coupled with too many bulls showing up) appears to be happening.
Remember, years that were up >10% at the midpoint tended to consolidate around here.
This isn't the end of the 🌏, but likely a pause before an end of year run. pic.twitter.com/CMeKkMwWAG
— Ryan Detrick, CMT (@RyanDetrick) August 15, 2023
Today’s Chart of the Day was shared by Ryan Detrick (@RyanDetrick). The S&P 500 peaked on July 31st and turned lower as we turned the calendar. It’s currently down -3.3% in August after rising for five consecutive months. Ryan points out that this weakness is showing up right on schedule. The orange line represents the average performance of the S&P 500 during years in which it gained +10% or more in the first half. Years that start strong tend to digest their gains in August through November before a year-end rally.