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Strategies & Market Trends : Zeev's Turnips - No Politics -- Ignore unavailable to you. Want to Upgrade?

To: sylvester80 who wrote (14715)	12/19/2001 8:51:18 PM
From: Bruce A. Brotnov	Read Replies (2) \| Respond to of 99280

The January effect some 10 years ago was small stocks that went up in January. However for the last 8 years the buying of January effect stocks (generally small cap/growth) has started earlier and earlier each year, usually picking up in late October. They have even started calling it the "santa claus" rally because the strongest rally is seen in the last 1/2 of December. Russell 2000 has led the other main indexes for the past 3 weeks and even went positive for the year yesterday (483) but off one point today. In recent years the January effect has really amounted to more selling than buying just a few days into January when individual investors look around and stocks aren't going up anymore so they start selling in droves. From my observation then the selling using takes a couple of weeks and then normalcy returns towards the end of January based on what the rest of the market is doing and it rejoins the market. Bruce