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Is the Santa Claus Rally Real?

Most traders and investors have probably heard of the Santa Claus Rally. This refers to the belief that the market usually posts gains in the trading week following Christmas. Some people extend the Santa Claus Rally to include the full month of December. Yet before we start putting our hard-earned money on long positions based on market legend, let’s take a closer look at how the market actually trades in December. In other words, let’s see if the Santa Claus Rally actually real.

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