The Market’s Strongest One-Year Period Starts Next Week

It’s rare for any market statistic to show investor success above 60%. But we’re about to enter a period of time with a 100% win rate for retail investors.

Starting next Tuesday, as you head out to the polls and check off your ballot, make a note of where the S&P 500 is trading. Because since 1950, 12 months after a midterm election, the market has been higher… 100% of the time:

Not up by a little, either. The average return – over 19 consecutive post-midterm elections – is 12%.

The three-month period immediately after the midterms also gets a year-end seasonal boost from holiday spending and tax-selling, creating an average return that has been 8% higher every time since the end of World War II.

Even in the 2018 midterms, during Trump’s first term, after markets sold off into late December, the one-year pattern held. The market finished 16.3% higher in the ensuing nine months.

We’re not just entering a seasonally bullish period for the stock market. But the year that is consistently – 100% of the time for 76 years— the best stretch in any president’s four-year term.

Today’s Pro recommendation looks at a unique, high-profile, high-margin “software” company that is already breaking higher after a year in a funk. The perfect set to add to recent Pro gains of 25% in MasterCard (MA), 40% in Phillips 66 (PSX), and a 15% gain in Berkshire Hathaway (BRK-B).

~ Addison

P.S. Last week, we pulled off a double-header for Grey Swan Investment Fraternity members.

First, we hosted an event with our friends from Prime Corporate Services.

Are your trading accounts set and taxes organized before the end of 2026?

With the end of 2026 in sight, now’s the time to make some year-end moves that could significantly save on your taxes.

Nick showed us how to legally minimize your taxes with smart, strategic planning — including using your membership in the Grey Swan Investment Fraternity as a tax-deductible expense against your investment gains.

Next, we met up with Adam O’Dell of Money & Markets. We covered Adam’s system-based trading strategy, the opportunities he sees now, and the latest on where we’re at in the tech trade – including a shift toward the push for data centers in space. The replay is up on site now here.

You can review more of Adam’s work at Money & Markets, and he also writes the free email “What My System Says Today.” Adam is always honing his systems and providing updates on his latest research, which you can also check out here.

We’ll be looking more at midterm trends and what they mean for the markets in Grey Swan Live! this week. More details to come.