| An SI Board Since December 2000 |
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Winter is a market force, it brings us a feeling of change of year, of an ending and then a fresh shiney start, along with longer nights snuggled up beside the fireplace with the computer, a heightened awareness of tax law leading to the dumping of one's personal dogs of the year ending, some sort of weird euphoria called the Santa Klaus Rally which seems to be late this year, then the phenomenon known as the January Effect which in the case of many speckie stocks is largely the direct result of and a rebound from the tax-loss selling and might more properly be referred to as the San Valentín Rally or the Look Out Ides of March Here We Come Flood Tide since it generally carries well beyond the first month, augmented as it is by factors such as rrsp cash inflows and a vague rosey optimism that this year we're gonna get it right.
Sure, let's discuss spring summer and fall, they are but varying degrees of temporary lack of winter ... anything cyclical that acts on market dynamics - could be political cycles, for instance how markets have behaved historically in the first years of US presidents, especially republican ones ... or how about significant calendar dates, like the Real Millennium coming up [there was no Year Zero!] in fourty-five hours and fourty-one minutes.
Tax-loss selling and possible rebounds from it, that's the big one, especially following years in which so many tank so big ... Happy New Year!
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