No Christmas Rally This Year?cant Remember That Happening.

Discussion in 'Trading' started by dsq, Dec 17, 2007.

  1. dsq

    dsq

    Traded from 1990 to 2001ish and dont ever recall no christmas rally...this year is looking real bleak and todays action is terrible....market looking very weak...feels like everybody has left the desks and gone on early vacation?Or is this some washoout with a big rally coming up for a few days?
     
  2. Many Bulls have turned Bearish! They're shorting on any negative news....lots of it lately.
     
  3. gobar

    gobar

    today might see 250 + drop in dow.

    everything is looking ugly out there

    esp tech..
     
  4. When will Santa get us "up" again??? :(

    [​IMG]
     
  5. He needs Viagra 1000 mg....:p
     
  6. Well, there's always the contrarian argument. When everyone and their grandmother says there won't be a Santa Rally, the odds of one increases.

    There are several key areas where we could see a reversal. If it closes above 1450 today, that would be one of them. 1450 is a round number and a near perfect 61% retracement from November low to December high. Other possible areas are the gap around 1430 (a quick turnaround after it's filled), 1406-7 (closing low price for August and November) and yearly low around 1365-1375 (March and August).

    There isn't much time to for stocks to run up, but as we've seen this year, rallies can make up a lot of lost ground fast with the current volatility.

     
  7. '06 Wasn't anything to write home about, especially in the DOW. That rally came early in Nov.

    Besides doesn't 7% in a week account for anything? Market clearly overextended into this week, coupled with year end....

    Not bullish, but not overly bearish either, but right now even the bulls on the T.V. looked whipped. Usually a good sign. Remember, when it becomes a no-brainer, that's usually when the trade gets crushed.


    Good Luck!
     
  8. Actually, Santa rallies in recent years (2003-2006) have been limited, as fall rallies started as early as August. Indices were already around yearly highs in early December. Typically, stocks just drifted up a little more in the last few weeks of the year.

    This year could see a stronger move up IF there's a reversal from this down move. It would give the big boys a chance to do the other half of their window dressing (they've had ample opportunity to do the selling part).
     
  9. [​IMG]
     
  10. we'll be up tomorrow imo
     
    #10     Dec 17, 2007