Stock Market Analysis

Wednesday, December 23, 2009

Santa Claus Rally Continues...

The Dow went sideways today, closing up by 1 point as the Nasdaq composite continues it warpath upwards by 0.75%.

Strength in the Nasdaq Composite continued today as it rallied yet another 17 points, creating widespread speculation that 2010 may all be about tech stocks. The Dow and the S&P500 continues to wobble within their short term neutral channels with the S&P500 showing signs of pushing out of the range upwards. Trading volume was extremely low as expected and none of these optimism has anything to do with anything in the news. Yes, santa claus rally is pretty much underway this year and is expected to last all the way through New Year as it has always done, leading on to the January effect, which I will talk more about next week.

Tomorrow's Christmas eve and a half day trading. Volume is expected to be even lower with odds favoring yet another positive close. Merry Christmas Everyone!

See you back next week!

For now, the Dow remains in short term neutral trend within an intermediate and long term bull trend.


Post a Comment

<< Home