Impact of Lunar Cycle on Return of the Tehran Stock Exchange

Subject Areas : Financial engineering

Ali Bayat ¹ , Akbar Aliabadi ²

1 - Department of Accounting، Zanjan Branch، Islamic Azad University، Zanjan، Iran.
2 - Department of Accounting، Zanjan Branch، Islamic Azad University، Zanjan، Iran.

Received: 2021-07-01 Accepted : 2021-10-15 Published : 2022-03-21

Keywords: full and new moon, north and south node, perigees and apogees, lunar declination, market returns,

Abstract :

This is the first study of the newest fields of financial science، financial astrology. Financial astrology states that the position and movements of celestial bodies can affect the financial markets through changes in mood. For this reason، the hypothesis of the effect of lunar cycles on return of the Tehran Stock Exchange has been considered. In this research، the cycles of full and new moon، north and south node، perigees & apogees، lunar declination have been studied. The statistical population of Tehran Stock Exchange and the sample of the overall index for a period of 10 years (90 – 99) have been selected. In this study، nonparametric statistics، Mann-Whitney test were used to test hypotheses and T test was used as a control test. The results show that in Tehran Stock Exchange similar to some researches have been done and contrary to the results of other researches lunar cycles have no significant effect on daily returns. Therefore، the return in different cycles of the moon is not significantly different.