R2 “Strength Run” Argues for Three Months’ Weakness

June 10, 2026

R2 “Strength Run” Argues for Three Months’ Weakness

The R2000 recently completed a “strength run”, that is when the trailing month return exceeds 10% and the trailing year is up 20+%.  There have been 22 previous “strength runs” going back to 1980 (excluding any repeated concurrent observations occurring within a month).  While the forward month tends to be above average (averaging 2.1% and positive 73% of the time versus 1.0% average and 62% positive for all 1-month periods), the forward three months tend to be below average (up 1.6% vs 3.1% overall average).