Downside Potential

The market will not be maximum oversold until option expiration at the end of next week. That does not mean we will necessarily get there but the potential is there. That would set the market up for a Santa Claus rally into year end. However, a lot of damage could be done between now and the potential Santa Claus rally.

1 comment:

Anonymous said...

Historically everyone SELLS the last week of the year for tax reasons. If your expecting a x-mas rally it could be 1-2 day event. Especially because Christmas week there are only 3 1/2 trading days.