May Core Strategy Pre-trade Analysis Friday May 13th 2:10 PM Posted in: Daily Blog Start Trading Intro As a new feature, I plan to provide some insight to my expectations for the Core Options Trading Strategy prior to the trading cycle each month. As part my analysis I am going to look at historical data to try and determine what should be the best (statistically) performers for the upcoming cycle. Some of the criteria I will look at will include: Winning histories Average yields Frequency Historical Performance for May Monthly performance for May is very optimistic. The lifetime winning history for May is an astounding 92.50%, which is second only to July. Perhaps even more impressive is the staggering 153.58% average yield for the month. May lifetime winning history at common returns: Return Winning History 10% 90.00% 20% 88.75% 30% 83.75% Historically Successful May Picks Many stocks have high historical performance for the month of May, however, only a few have been traded with much frequency: Stock Frequency Winning History Average Return BRCM 5 100% 137.32% DIA 5 80% 141.66% EBAY 5 100% 149.39% IBM 6 100% 310.60% QQQ 7 100% 118.18% Statistical Expectations for May May obviously looks to be a strong month. Both March and April were unfavorable to the Core, providing negative or lackluster results, which could set us up for a strong May cycle. Statistically, QQQ (as usual) provides a strong return with minimal risk as it is also one of the best all time performing stocks for the Core Options Trading Strategy. IBM also looks to be a winning play for May. These recommendations are independent of Dave's monthly core picks and are intended to provide traders with a framework to build upon.