Will You Be Ho-Ho-Hoing Your Way To The Bank This Christmas?
The big question is: will we get the usual Santa Claus market rally between
now and the end of 2005? It's been a fantastic year - but are we asking too
much for yet more price rises? Well, right now it really does look
I'm sure many of you, like me, have had an amazing year especially if you
bought a few of the second line oil stocks like Burren, Tullow and Dragon -
some brilliant gains! I'm in the camp that reckons we will see some more
rises up to the year end.
I spoke to David Schwartz, a stock market historian, who is bullish for the
"It's quite amazing," he told me. "If you bought the FTSE around December
19th most years, you'd be in a good profit by the year end. The Santa Claus
rally really does exist!"
Clem Chambers, head honcho at ADVFN, has his own thoughts.
"December is historically a well-performing month with a boost in retail
sales and the general bonhomie of the season, perhaps accounting for a
buoyant stock market. However, as is often the case with trading maxims,
people preempt them and the affect can occur earlier or even be traded
away. With great November returns in 2005, it could be the case that
Santas influence has hit the City early. The stock market has had a great
run this year with the FTSE 100 at its highest level since 2001 and the IPO
market looking strong. Lets hope 2006 carries on the trend."
I think we all hope the same, Clem!
Thanks to all of you who've been buying my book The Naked Trader. It sold
out of its first print run after just a month, which is brilliant! The
second print run has been done and the book is now available again. Thanks
very much to ADVFN readers for their positive feedback. I really hope that
if you follow my advice in the book, you will become a better investor.
My portfolio continues to blossom with some quite amazing risers.
Star awards to Burren Energy (bought at 239p now nearly 1000p), CSR (bought
at 650p now around 900p) and VP (bought at 128p now around 250p).
Let's all hope Santa brings us some share risers! I'll be back next week
with a review of the year.