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Corrections, seasonality and Santa Claus

"Is a stock market correction imminent?" asks market historian, timer and money manager Jim Stack.

In his Investech Market Analyst, he answers, "Yes. But, actually, one could answer that question the same way at almost any stage of every bull market in history. Corrections are always imminent in bull markets, with the only question being how severe the next correction will be."

Here, he looks at the market's history to help forecast both the likelihood of an upcoming correction as well as the historical evidence for a "Santa Claus rally."

Continue reading Corrections, seasonality and Santa Claus

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IndexesChangePrice
DJIA+72.8112,874.04
NASDAQ+24.852,928.73
S&P 500+9.081,351.72

Last updated: February 13, 2012: 04:14 PM

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