December trading

[SanMiguel]

What is December like to trade? You hear varying opinions from traders saying it's not worth it, people don't trade in December they just play video games, market is set free by the banks for the retail crowd to go nuts, etc. etc. If it was anything like my August's trading, then I may just go skiing for the whole month

[rhodytrader]

This question comes up every year. I wrote about it on my blog last year: Trading During the Holidays

[SanMiguel]

Originally Posted by rhodytrader

This question comes up every year. I wrote about it on my blog last year: Trading During the Holidays

At times, however, the light volume serves to create an environment where very rapid movements can take place. This can be loads of fun, and quite profitable for the trader ready and willing to go along for the ride.

Any examples? I presume that type of trading would suit some breakout trading but what causes the rapid movements if there are less institutional traders in the market?

[rhodytrader]

EUR/JPY in Dec of 2000 was an amazing ride. I don't remember the drivers, but that thing just kept going up and up and up right through the holidays.

Keep in mind that data and news still comes out. Just because traders are taking it easy doesn't mean the world stops turning.

[funnyforexbunny]

I myself think to slow it down. And also why not getting a deserved break

[rhodytrader]

Originally Posted by funnyforexbunny

I myself think to slow it down. And also why not getting a deserved break

If you're going to be distracted by holiday parties and shopping then it's a good idea to use the time to take a break from the trading action.

[tom82]

Good time for beginners?

[rhodytrader]

Probably not because the tendency is for there either to be little price movement or a whole lot - zero volatility or high volatility.

[dpaterso]

Don't forget about the 'Santa Claus Rally'!!!

Do you (John) think we're going to see one this year? (I've read various articles stating that it's ALREADY begun i.e. months ago)!!!

Regards,

Dale.

[tom82]

Originally Posted by dpaterso

Don't forget about the 'Santa Claus Rally'!!!

Do you (John) think we're going to see one this year? (I've read various articles stating that it's ALREADY begun i.e. months ago)!!!

Regards,

Dale.

What is the Santa Clause rally?
Sounds interesting :}