There’s a long-standing belief in financial circles that summer is dead for trading—low volume, choppy markets, and uninspiring price action. While summer can bring slower conditions, especially in equities, the idea that it’s never worth trading is a myth. In truth, summer markets offer unique opportunities—just not the same ones you’ll find in high-volatility seasons.

Let’s explore what summer trading actually looks like—and how to approach it effectively.

Where the Myth Comes From

The phrase “Sell in May and go away” reflects the historical tendency for markets to:

• Slow down from May through September
• See reduced institutional participation due to holidays
• Deliver lower average returns in certain equity markets
• Show less consistent directional moves, leading to whipsaws

But while the environment changes, opportunities don’t disappear—they just look different.

Summer Can Still Offer Tradable Conditions

Summer is often marked by:

• Range-bound price action ideal for mean-reversion or range trading
• Short, sharp intraday moves from surprise news in thinner liquidity
• Currency and commodity activity, as global macro themes continue year-round
• Position-building from large players, who accumulate slowly during quiet months

If you’re waiting for big breakouts or trending swings, you may struggle—but if you adjust your strategy, summer can still deliver.

What Works in Summer Markets

Traders often find success by:

• Scaling back expectations: Aim for singles, not home runs
• Reducing position size to account for volatility shifts
• Shortening holding periods: Focus on intraday or 1–3 day trades
• Prioritising clean consolidation setups or well-defined ranges
• Staying patient: Sometimes the best move is to wait

Edge comes from adapting—not abandoning the market.

When Not to Trade in Summer

There are times when summer markets genuinely aren’t worth trading, such as:

• Around major global holidays (e.g. US Independence Day, August bank holidays)
• When volume is ultra-thin and price barely moves
• If your setup relies on momentum or breakout conditions that are absent

In these cases, taking a break or reviewing your plan is a better use of time than forcing trades.

Conclusion: Summer Isn’t Useless—It’s Just Different

Summer trading isn’t worthless—it simply requires a shift in pace, strategy, and mindset. Don’t fall for the myth that summer is a waste. Instead, trade smarter, with precision and patience.

To learn how to tailor your trading approach to seasonal conditions and build an edge that works year-round, explore our Trading Courses designed to help traders succeed in every season—summer included.