RJ Hamster
Reject Headline Noise, Embrace “Seasonal Synergies”
Reject Headline Noise, Embrace “Seasonal Synergies”
BY MICHAEL SALVATORE, EDITOR, TRADESMITH DAILY
In This Digest:
- Do this instead of doomscrolling the latest news headlines
- Three seasonally bullish trades that begin within days
- Why Seasonal Synergies are the best trades to watch this year
- Get the “unlocked” version of our groundbreaking Seasonality tool
The Age of Chaos is picking up steam in 2026…
In just the 12 days since the start of the year, we’ve seen:
- The capture of Venezuelan president Nicolás Maduro by U.S. special forces and a scramble to control the country’s vast oil reserves.
- A growing protest movement in Iran that may topple the regime, making the global energy picture even murkier. (Iran is the world’s eighth-largest oil producer.)
- The Department of Justice launch an investigation into Fed chair Jerome Powell over a renovation project at the central bank’s Washington, D.C., headquarters.
That’s before we get to the upcoming Supreme Court ruling on the legality of Trump’s tariffs (as soon as tomorrow) and his new pick to replace Powell as Fed chair (expected by the end of the month).
As investors, that’s a lot of market-moving news to take in. If you feel like your head is spinning, I don’t blame you.
But today, I’m issuing you a challenge.
Over the next week, I want you to tune out the news headlines and the hot takes on social media.
Instead, tune in here, where we’ll focus on something simpler and a lot more useful…
Your new 2026 seasonality calendar and the dates we’re about to circle on it.
Recommended Link
Announcing a New Way to Handle Your Cash in 2026
The top 5 stocks to own each month in 2026… through a new feature of our “green day” system, which could’ve helped you double your money 13 different times last year on our official picks. This new feature has crushed the market nearly 4-fold in backtests. Try it free of charge, here.
Three seasonally bullish windows are coming up…
Seasonality is the study of recurring calendar-based patterns – specific times of year when stocks and sectors tend to move.
You can’t spot most of these patterns with the naked eye. But our Seasonality software combs through decades of market data and more than 2 quintillion data points to find those patterns in what looks like an endless ocean of random noise.
Seasonality tells us, for example, that January has historically been a good month for Healthcare stocks – the sector has been up 61.5% of the time in January.
Or that it’s a bad month for Materials stocks, which have fallen more than half the time and lost an average of 5.3% during those bearish windows.
And it even tells us that over the past eight midterm election years dating back to 1994, the SPDR S&P 500 ETF (SPY) rose every single time from Feb. 6 to March 23 for an average gain of 4.7%.
By incorporating seasonality into our analysis, we can pinpoint patterns where we never would have seen them before.
And here at TradeSmith, we’ve been hard at work upgrading our groundbreaking Seasonality software.
With it, you can instantly find the best times of the year to hold – or avoid holding – any stock.
Here are three seasonal trades to put on your calendar…
I just scanned our system for the top seasonality patterns that will begin in the next seven days.
Turns out, across the major market indices – the S&P 500, Nasdaq 100, and Dow – there are nine such patterns to look at.
Let’s start with one extremely timely seasonal pattern, starting today, Jan. 13. That’s in the world’s leading maker of advanced chipmaking equipment, ASML Holding (ASML).
For the past 15 years, ASML has returned an average of 8.2% from Jan. 13 to Feb. 19. It fell in only two of those years – 2014 and 2022. That kind of hit rate and performance earns it an Optimal flag in our system:
History is set to rhyme with ASML. And it could be a great trade.
But it’s not what we’d call a Seasonal Synergy trade.
ASML already had the odds stacked in its favor with its seasonal pattern. But what would make us really love this trade is if it was trading at or below its Optimal RSI.
The RSI refers to the Relative Strength Index – a measure of overbought or oversold conditions. The higher the RSI, the more overbought the stock.
As you can see on the bottom right of the image above, that Optimal RSI is 56 or below. In our testing, we’ve found that when ASML is at a 56 or lower on its RSI, the results of trading this seasonal pattern are more consistent. That’s why we call it a Seasonal Synergy – two important indicators are lining up on the day the pattern starts.
Right now, ASML’s RSI is up above 72 and didn’t fall below 56 before the seasonal window began.
So ASML may prove a great trade from today through Feb. 19, but we’d love it even more if its RSI were in a better spot.
Let’s keep looking.
Here’s another pattern starting for Teledyne (TDY) this Friday, Jan. 16:
Teledyne is a key supplier of sensors, imaging systems, and avionics for defense and aerospace. Over the past 15 years, it has a perfect track record of rising from Jan. 16 through Feb. 19. During these windows, TDY has gone up for an average of 5.4%.
In fact, both of TDY’s two other seasonal patterns this year are Optimal trades as well.
But here, too, the likelihood of a Seasonal Synergy trade is slim. TDY’s RSI is up at 69.9 right now, and the Optimal RSI would be 52 or less for this pattern.
Seasonal Synergy trades are rare. But lucky for us, there’s an active signal right now in education company Stride (LRN).
LRN’s seasonal pattern starts today and lasts through Feb. 26. Over the past 15 years, it’s been up all but two years (2018 and 2020). And on average, the stock has returned 13.2% in this bullish seasonal window:
LRN has also hit our Seasonal Synergy strategy… its current RSI is just under its Optimal RSI of 53 or below.
In just a few minutes, we’ve found three seasonal trades you can mark on your calendar over the next seven days.
Now, how about the rest of the year?
As of today, you can test drive our Seasonality tool for free…
You can enter any ticker you likeand fill out your own trading calendar for 2026.
And we want as many readers as possible to try it for themselves ahead of our Prediction 2026 event next Tuesday, Jan. 20, at 10 a.m. ET.
During the event our CEO, Keith Kaplan, will walk you through why these cycles persist… how seasonality has continued to work even through crashes and bear markets… and how to use it to better manage your risk.
You’ll also see how our team combines seasonality with other technical signals to find higher-probability setups – and how to use it to step aside when the odds turn against you.
Keith will also lift the lid on an automated trading strategy that isolates the top five stocks to own in any given month.
Our team ran an eight-year backtest that included the market decline of 2018, the pandemic crash of 2020, the 2022 bear market, and the epic bull market of the last three years.
And it rose by nearly four-fold during that time.
So before you get pulled back into the daily noise… take a few minutes to register for Prediction 2026 and unlock the Seasonality tool for yourself.
You’ll not only be able to test drive our software tool… you’ll also hear from Keith about some fast-approaching seasonality windows you need to be aware of.
Here’s the link to register for free.
To building wealth beyond measure,
Michael Salvatore
Editor, TradeSmith Daily
Reject Headline Noise, Embrace “Seasonal Synergies”
BY MICHAEL SALVATORE, EDITOR, TRADESMITH DAILY
In This Digest:
- Do this instead of doomscrolling the latest news headlines
- Three seasonally bullish trades that begin within days
- Why Seasonal Synergies are the best trades to watch this year
- Get the “unlocked” version of our groundbreaking Seasonality tool
The Age of Chaos is picking up steam in 2026…
In just the 12 days since the start of the year, we’ve seen:
- The capture of Venezuelan president Nicolás Maduro by U.S. special forces and a scramble to control the country’s vast oil reserves.
- A growing protest movement in Iran that may topple the regime, making the global energy picture even murkier. (Iran is the world’s eighth-largest oil producer.)
- The Department of Justice launch an investigation into Fed chair Jerome Powell over a renovation project at the central bank’s Washington, D.C., headquarters.
That’s before we get to the upcoming Supreme Court ruling on the legality of Trump’s tariffs (as soon as tomorrow) and his new pick to replace Powell as Fed chair (expected by the end of the month).
As investors, that’s a lot of market-moving news to take in. If you feel like your head is spinning, I don’t blame you.
But today, I’m issuing you a challenge.
Over the next week, I want you to tune out the news headlines and the hot takes on social media.
Instead, tune in here, where we’ll focus on something simpler and a lot more useful…
Your new 2026 seasonality calendar and the dates we’re about to circle on it.
Recommended Link
Announcing a New Way to Handle Your Cash in 2026
The top 5 stocks to own each month in 2026… through a new feature of our “green day” system, which could’ve helped you double your money 13 different times last year on our official picks. This new feature has crushed the market nearly 4-fold in backtests. Try it free of charge, here.
Three seasonally bullish windows are coming up…
Seasonality is the study of recurring calendar-based patterns – specific times of year when stocks and sectors tend to move.
You can’t spot most of these patterns with the naked eye. But our Seasonality software combs through decades of market data and more than 2 quintillion data points to find those patterns in what looks like an endless ocean of random noise.
Seasonality tells us, for example, that January has historically been a good month for Healthcare stocks – the sector has been up 61.5% of the time in January.
Or that it’s a bad month for Materials stocks, which have fallen more than half the time and lost an average of 5.3% during those bearish windows.
And it even tells us that over the past eight midterm election years dating back to 1994, the SPDR S&P 500 ETF (SPY) rose every single time from Feb. 6 to March 23 for an average gain of 4.7%.
By incorporating seasonality into our analysis, we can pinpoint patterns where we never would have seen them before.
And here at TradeSmith, we’ve been hard at work upgrading our groundbreaking Seasonality software.
With it, you can instantly find the best times of the year to hold – or avoid holding – any stock.
Here are three seasonal trades to put on your calendar…
I just scanned our system for the top seasonality patterns that will begin in the next seven days.
Turns out, across the major market indices – the S&P 500, Nasdaq 100, and Dow – there are nine such patterns to look at.
Let’s start with one extremely timely seasonal pattern, starting today, Jan. 13. That’s in the world’s leading maker of advanced chipmaking equipment, ASML Holding (ASML).
For the past 15 years, ASML has returned an average of 8.2% from Jan. 13 to Feb. 19. It fell in only two of those years – 2014 and 2022. That kind of hit rate and performance earns it an Optimal flag in our system:
History is set to rhyme with ASML. And it could be a great trade.
But it’s not what we’d call a Seasonal Synergy trade.
ASML already had the odds stacked in its favor with its seasonal pattern. But what would make us really love this trade is if it was trading at or below its Optimal RSI.
The RSI refers to the Relative Strength Index – a measure of overbought or oversold conditions. The higher the RSI, the more overbought the stock.
As you can see on the bottom right of the image above, that Optimal RSI is 56 or below. In our testing, we’ve found that when ASML is at a 56 or lower on its RSI, the results of trading this seasonal pattern are more consistent. That’s why we call it a Seasonal Synergy – two important indicators are lining up on the day the pattern starts.
Right now, ASML’s RSI is up above 72 and didn’t fall below 56 before the seasonal window began.
So ASML may prove a great trade from today through Feb. 19, but we’d love it even more if its RSI were in a better spot.
Let’s keep looking.
Here’s another pattern starting for Teledyne (TDY) this Friday, Jan. 16:
Teledyne is a key supplier of sensors, imaging systems, and avionics for defense and aerospace. Over the past 15 years, it has a perfect track record of rising from Jan. 16 through Feb. 19. During these windows, TDY has gone up for an average of 5.4%.
In fact, both of TDY’s two other seasonal patterns this year are Optimal trades as well.
But here, too, the likelihood of a Seasonal Synergy trade is slim. TDY’s RSI is up at 69.9 right now, and the Optimal RSI would be 52 or less for this pattern.
Seasonal Synergy trades are rare. But lucky for us, there’s an active signal right now in education company Stride (LRN).
LRN’s seasonal pattern starts today and lasts through Feb. 26. Over the past 15 years, it’s been up all but two years (2018 and 2020). And on average, the stock has returned 13.2% in this bullish seasonal window:
LRN has also hit our Seasonal Synergy strategy… its current RSI is just under its Optimal RSI of 53 or below.
In just a few minutes, we’ve found three seasonal trades you can mark on your calendar over the next seven days.
Now, how about the rest of the year?
As of today, you can test drive our Seasonality tool for free…
You can enter any ticker you likeand fill out your own trading calendar for 2026.
And we want as many readers as possible to try it for themselves ahead of our Prediction 2026 event next Tuesday, Jan. 20, at 10 a.m. ET.
During the event our CEO, Keith Kaplan, will walk you through why these cycles persist… how seasonality has continued to work even through crashes and bear markets… and how to use it to better manage your risk.
You’ll also see how our team combines seasonality with other technical signals to find higher-probability setups – and how to use it to step aside when the odds turn against you.
Keith will also lift the lid on an automated trading strategy that isolates the top five stocks to own in any given month.
Our team ran an eight-year backtest that included the market decline of 2018, the pandemic crash of 2020, the 2022 bear market, and the epic bull market of the last three years.
And it rose by nearly four-fold during that time.
So before you get pulled back into the daily noise… take a few minutes to register for Prediction 2026 and unlock the Seasonality tool for yourself.
You’ll not only be able to test drive our software tool… you’ll also hear from Keith about some fast-approaching seasonality windows you need to be aware of.
Here’s the link to register for free.
To building wealth beyond measure,
Michael Salvatore
Editor, TradeSmith Daily
