Stock Market Analysis

Tuesday, December 22, 2015

Window Dressing Week...

3 Days from Christmas!

Exactly as I have predicted on Sunday night, Santa Claus has been so far, unstoppable, yet again. Yes, if there is one person we never want to go against, is Santa Claus. Not even branding Santa Claus as heresy has allowed the V to eradicate this holiday symbol.

So far this week, economic numbers have been shaky but the market just kept rising. What exactly is the logic behind the Santa Claus rally that allows the stock market to diverge from the economic fundamentals?

Well, a large part of it is what is known as "Window Dressing". That's what professional fund managers do towards the end of the year where they simply buy in order to firstly meet their holdings mandate and then which also inevitably raise stock prices, making their portfolio look good for year end reporting. Such an action is largely for the sake of looking good and is rarely sustainable, which is why it is known as "Window Dressing".

So, its window dressing time within a bearish framework. What does it all mean to traders and investors who wants to make a real profit? Well, it simply means not to fall for the bull trap especially since its going to be a holiday shortened week. Lets take our minds off the market for a while and enjoy the holiday season.

REMINDER: My great Christmas Sale is on! Get a 50% instant refund on all purchases at from now till 3 Jan! Hurry Now! Learn to rip off the options market with me in 2016!

Market Crash Timer: ORANGE

For now, the market remains in all out neutral trend.


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