Well, we dropped about five points, gained it back, and then the big blue arrow tells it all. But I don’t think this picture is really worth 1,000 words, so I’ll keep this short. (That last drop all occurred after the stock market closed.) I didn’t see any trades I liked today.

Sideways

I’m not sure how much posting I’ll do next week since we have company, but being the compulsive person I am, I’m sure I’ll put something up. For those of you keeping regular trading hours, we’ve finally reached the starting gate for the yearly Santa Claus Rally.

(If you want a break from the market but can’t keep away from your computer, check out my other site — www.OurWindowOnNature.com.)

According to Yale Hirsch who did the original research, the Santa Claus Rally occurs during the days between Christmas and New Years, and continues into the first two trading days of the new year. Popular culture has expanded this time period just like it has the holiday shopping season, but then popular culture doesn’t do any research.

Does it still work? From what I’ve read, about 65% of the time. But here’s a quote many overlook from Hirsh’s 1986 book Don’t Sell Stocks On Monday:

If Santa Claus should fail to call,
Bears may come to Broad & Wall.

With that encouraging thought, Happy Holidays.

For More Information:
Don’t Sell Stocks on Monday
Out of print, but still available if you’re willing to pay these prices. The second “used” copy is listed at $120!


, ,