{"id":1202000,"date":"2025-12-24T11:49:18","date_gmt":"2025-12-24T09:49:18","guid":{"rendered":"https:\/\/www.etoro.com\/?p=1202000"},"modified":"2025-12-24T16:53:45","modified_gmt":"2025-12-24T14:53:45","slug":"will-we-see-a-santa-claus-rally","status":"publish","type":"post","link":"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/will-we-see-a-santa-claus-rally\/","title":{"rendered":"Will We See a Santa Claus Rally?"},"content":{"rendered":"

After skipping 2023 and 2024, stock market bulls are hoping Santa comes to Wall Street this year. The Daily Breakdown digs into the stats.<\/p>\n

Before we dive in, let\u2019s make sure you\u2019re set to receive The Daily Breakdown each morning. <\/span><\/i>To keep getting our daily insights<\/i><\/b>, all you need to do is <\/span><\/i>log in<\/span><\/i><\/a> to your eToro account.<\/span><\/i><\/p>\n

What’s Happening?<\/b><\/h2>\n

The Santa Claus Rally is measured by the last five trading days of the year, and the first two trading days of January. For this year\u2019s stretch, that means the Santa Claus period begins today (Dec. 24) and runs through January 5.\u00a0<\/span><\/p>\n

Investors often attribute this strength to lighter trading volumes, improved sentiment, and portfolio positioning ahead of year-end. While it\u2019s not a guarantee of gains, the rally is closely watched because its presence can reinforce bullish momentum, while its absence may signal caution. As with all seasonal trends, it\u2019s best viewed as a context-setting factor rather than a standalone investment strategy.<\/span><\/p>\n

The Numbers…and a Word of Warning<\/b><\/h4>\n

Since 1950, this seven-day stretch has consistently delivered above-average returns for the S&P 500<\/a>, with the index gaining 1.3% and finishing in positive territory more than 75% of the time. While that may not sound like much, it\u2019s one of the most consistent seasonal patterns in the market.<\/span><\/p>\n

But here\u2019s the twist: If the Santa Claus Rally doesn\u2019t show, some investors take that as a warning sign for the year ahead. As Yale Hirsch \u2014 who created the Stock Trader’s Almanac \u2014 famously said: \u201cIf Santa Claus should fail to call, bears may come to Broad and Wall.\u201d<\/span><\/p>\n

Want to receive these insights straight to your inbox?<\/strong><\/p>\n

Sign up here<\/a><\/p>\n

The Setup \u2014 Coca-Cola<\/b><\/h2>\n

Coca-Cola<\/a> shares are up roughly 12.5% year-to-date and recently pulled back after another approach toward record highs. That rally stalled in the $73\u2013$74 range, a level that has acted as resistance for more than a year, as shown on the weekly chart (left).<\/span><\/p>\n

Zooming in on the daily chart (right), KO recently retraced but found support at both its 50-day and 200-day moving averages. Following the pullback, the stock now offers a dividend yield of nearly 3%.<\/span><\/p>\n

\"Daily
Chart as of the close on 12\/23\/2025. Source: eToro ProCharts, courtesy of TradingView.<\/em><\/figcaption><\/figure>\n

Coca-Cola\u2019s weekly chart highlights a strong uptrend. From here, bulls will want to see that trend remain intact \u2014 ideally with KO holding above its key daily moving averages. If it can do so, another push toward current resistance may be in play. However, a deeper pullback could shift momentum in a more bearish direction over the days and weeks ahead.<\/span><\/p>\n

Options<\/b><\/h4>\n

As of December 23rd, the options with the highest open interest for KO stock \u2014 meaning the contracts with the largest open positions in the options market \u2014 were the February 2026 $75 calls, followed by the January\u00a0 2026 $75 calls.\u00a0<\/span><\/p>\n

Investors who are bullish could consider calls or call spreads as one way to speculate on further upside, while bearish investors could consider puts or put spreads to speculate on a further move to the downside. For options traders, it may be advantageous to have adequate time until the option\u2019s expiration.\u00a0<\/span><\/p>\n

To learn more about options, consider visiting the <\/span>eToro Academy<\/span><\/a>.<\/span><\/p>\n

What Wall Street’s Watching<\/h2>\n

NVDA<\/b><\/a><\/p>\n

Despite expectations for strong growth over the coming 12 months, Nvidia stock had been struggling for traction. However, the stock has now rallied more than 10% amid a four-day win streak. Now up just over 40% on the year, bulls are hoping Nvidia can cap off the year with a strong performance. <\/span>Dig into the fundamentals for NVDA<\/span><\/a>.\u00a0<\/span><\/p>\n

SLV<\/b><\/p>\n

Yesterday we talked about gold<\/a> as it pushed to record highs, and silver\u2019s doing it too. Silver<\/a> bulls are rejoicing as the precious metal is now up almost 150% on the year. That\u2019s also helped drive the <\/span>SLV<\/span><\/a> ETF higher, too. Up 26% so far in December, silver is going for its 8th straight monthly gain. <\/span>Check out the chart for the SLV ETF<\/span><\/a>.\u00a0<\/span><\/p>\n

NVO<\/b><\/a><\/p>\n

Novo Nordisk shares jumped after the FDA approved the company\u2019s oral Wegovy weight-loss pill, the first GLP-1 treatment in a daily tablet form, offering a more convenient alternative to injections. Investors see the approval as a major market catalyst that could expand access and boost adoption in the rapidly growing obesity treatment market, giving Novo a strategic edge over rivals like Eli Lilly<\/a>.<\/span><\/p>\n

Disclaimer:<\/i><\/b><\/p>\n

Please note that due to market volatility, some of the prices may have already been reached and scenarios played out.<\/i><\/b><\/p>\n","protected":false},"excerpt":{"rendered":"

After skipping 2023 and 2024, stock market bulls are hoping Santa comes to Wall Street this year. The Daily Breakdown digs into the stats. Before we dive in, let\u2019s make sure you\u2019re set to receive The Daily Breakdown each morning. To keep getting our daily insights, all you need to do is log in to…<\/p>\n","protected":false},"author":130,"featured_media":819735,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[6894],"tags":[],"asset_type":[],"class_list":["post-1202000","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-the-daily-breakdown"],"acf":[],"yoast_head":"The Daily Breakdown: Will We See a Santa Claus Rally?<\/title>\n<meta name=\"description\" content=\"After skipping 2023 and 2024, stock market bulls are hoping Santa comes to Wall Street this year. The Daily Breakdown digs into the stats.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.etoro.com\/en-us\/wp-json\/wp\/v2\/posts\/1202000\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The Daily Breakdown: Will We See a Santa Claus Rally?\" \/>\n<meta property=\"og:description\" content=\"After skipping 2023 and 2024, stock market bulls are hoping Santa comes to Wall Street this year. The Daily Breakdown digs into the stats.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.etoro.com\/en-us\/wp-json\/wp\/v2\/posts\/1202000\" \/>\n<meta property=\"og:site_name\" content=\"eToro\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/eToro\/\" \/>\n<meta property=\"article:published_time\" content=\"2025-12-24T09:49:18+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2025-12-24T14:53:45+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.etoro.com\/wp-content\/uploads\/2024\/01\/DBD_BlogHeader_TW.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1200\" \/>\n\t<meta property=\"og:image:height\" content=\"630\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@eToro\" \/>\n<meta name=\"twitter:site\" content=\"@eToro\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Bret Kenwell\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"4 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/will-we-see-a-santa-claus-rally\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/will-we-see-a-santa-claus-rally\/\"},\"headline\":\"Will We See a Santa Claus Rally?\",\"datePublished\":\"2025-12-24T09:49:18+00:00\",\"dateModified\":\"2025-12-24T14:53:45+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/will-we-see-a-santa-claus-rally\/\"},\"wordCount\":755,\"publisher\":{\"@id\":\"https:\/\/www.etoro.com\/en-us\/#organization\"},\"image\":{\"@id\":\"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/will-we-see-a-santa-claus-rally\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.etoro.com\/wp-content\/uploads\/2024\/01\/DBD_BlogHeader_TW.jpg\",\"articleSection\":[\"The Daily Breakdown\"],\"inLanguage\":\"en-us\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/will-we-see-a-santa-claus-rally\/\",\"url\":\"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/will-we-see-a-santa-claus-rally\/\",\"name\":\"The Daily Breakdown: Will We See a Santa Claus Rally?\",\"isPartOf\":{\"@id\":\"https:\/\/www.etoro.com\/en-us\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/will-we-see-a-santa-claus-rally\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/will-we-see-a-santa-claus-rally\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.etoro.com\/wp-content\/uploads\/2024\/01\/DBD_BlogHeader_TW.jpg\",\"datePublished\":\"2025-12-24T09:49:18+00:00\",\"dateModified\":\"2025-12-24T14:53:45+00:00\",\"description\":\"After skipping 2023 and 2024, stock market bulls are hoping Santa comes to Wall Street this year. The Daily Breakdown digs into the stats.\",\"breadcrumb\":{\"@id\":\"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/will-we-see-a-santa-claus-rally\/#breadcrumb\"},\"inLanguage\":\"en-us\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/will-we-see-a-santa-claus-rally\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-us\",\"@id\":\"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/will-we-see-a-santa-claus-rally\/#primaryimage\",\"url\":\"https:\/\/www.etoro.com\/wp-content\/uploads\/2024\/01\/DBD_BlogHeader_TW.jpg\",\"contentUrl\":\"https:\/\/www.etoro.com\/wp-content\/uploads\/2024\/01\/DBD_BlogHeader_TW.jpg\",\"width\":1200,\"height\":630},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/will-we-see-a-santa-claus-rally\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/www.etoro.com\/en-us\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"The Daily Breakdown\",\"item\":\"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/\"},{\"@type\":\"ListItem\",\"position\":3,\"name\":\"Will We See a Santa Claus Rally?\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.etoro.com\/en-us\/#website\",\"url\":\"https:\/\/www.etoro.com\/en-us\/\",\"name\":\"eToro\",\"description\":\"\",\"publisher\":{\"@id\":\"https:\/\/www.etoro.com\/en-us\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.etoro.com\/en-us\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-us\"},[]]}<\/script>","yoast_head_json":{"title":"The Daily Breakdown: Will We See a Santa Claus Rally?","description":"After skipping 2023 and 2024, stock market bulls are hoping Santa comes to Wall Street this year. The Daily Breakdown digs into the stats.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.etoro.com\/en-us\/wp-json\/wp\/v2\/posts\/1202000","og_locale":"en_US","og_type":"article","og_title":"The Daily Breakdown: Will We See a Santa Claus Rally?","og_description":"After skipping 2023 and 2024, stock market bulls are hoping Santa comes to Wall Street this year. The Daily Breakdown digs into the stats.","og_url":"https:\/\/www.etoro.com\/en-us\/wp-json\/wp\/v2\/posts\/1202000","og_site_name":"eToro","article_publisher":"https:\/\/www.facebook.com\/eToro\/","article_published_time":"2025-12-24T09:49:18+00:00","article_modified_time":"2025-12-24T14:53:45+00:00","og_image":[{"width":1200,"height":630,"url":"https:\/\/www.etoro.com\/wp-content\/uploads\/2024\/01\/DBD_BlogHeader_TW.jpg","type":"image\/jpeg"}],"twitter_card":"summary_large_image","twitter_creator":"@eToro","twitter_site":"@eToro","twitter_misc":{"Written by":"Bret Kenwell","Est. reading time":"4 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/will-we-see-a-santa-claus-rally\/#article","isPartOf":{"@id":"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/will-we-see-a-santa-claus-rally\/"},"headline":"Will We See a Santa Claus Rally?","datePublished":"2025-12-24T09:49:18+00:00","dateModified":"2025-12-24T14:53:45+00:00","mainEntityOfPage":{"@id":"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/will-we-see-a-santa-claus-rally\/"},"wordCount":755,"publisher":{"@id":"https:\/\/www.etoro.com\/en-us\/#organization"},"image":{"@id":"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/will-we-see-a-santa-claus-rally\/#primaryimage"},"thumbnailUrl":"https:\/\/www.etoro.com\/wp-content\/uploads\/2024\/01\/DBD_BlogHeader_TW.jpg","articleSection":["The Daily Breakdown"],"inLanguage":"en-us"},{"@type":"WebPage","@id":"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/will-we-see-a-santa-claus-rally\/","url":"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/will-we-see-a-santa-claus-rally\/","name":"The Daily Breakdown: Will We See a Santa Claus Rally?","isPartOf":{"@id":"https:\/\/www.etoro.com\/en-us\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/will-we-see-a-santa-claus-rally\/#primaryimage"},"image":{"@id":"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/will-we-see-a-santa-claus-rally\/#primaryimage"},"thumbnailUrl":"https:\/\/www.etoro.com\/wp-content\/uploads\/2024\/01\/DBD_BlogHeader_TW.jpg","datePublished":"2025-12-24T09:49:18+00:00","dateModified":"2025-12-24T14:53:45+00:00","description":"After skipping 2023 and 2024, stock market bulls are hoping Santa comes to Wall Street this year. The Daily Breakdown digs into the stats.","breadcrumb":{"@id":"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/will-we-see-a-santa-claus-rally\/#breadcrumb"},"inLanguage":"en-us","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/will-we-see-a-santa-claus-rally\/"]}]},{"@type":"ImageObject","inLanguage":"en-us","@id":"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/will-we-see-a-santa-claus-rally\/#primaryimage","url":"https:\/\/www.etoro.com\/wp-content\/uploads\/2024\/01\/DBD_BlogHeader_TW.jpg","contentUrl":"https:\/\/www.etoro.com\/wp-content\/uploads\/2024\/01\/DBD_BlogHeader_TW.jpg","width":1200,"height":630},{"@type":"BreadcrumbList","@id":"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/will-we-see-a-santa-claus-rally\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.etoro.com\/en-us\/"},{"@type":"ListItem","position":2,"name":"The Daily Breakdown","item":"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/the-daily-breakdown\/"},{"@type":"ListItem","position":3,"name":"Will We See a Santa Claus Rally?"}]},{"@type":"WebSite","@id":"https:\/\/www.etoro.com\/en-us\/#website","url":"https:\/\/www.etoro.com\/en-us\/","name":"eToro","description":"","publisher":{"@id":"https:\/\/www.etoro.com\/en-us\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.etoro.com\/en-us\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-us"},[]]}},"_links":{"self":[{"href":"https:\/\/www.etoro.com\/en-us\/wp-json\/wp\/v2\/posts\/1202000"}],"collection":[{"href":"https:\/\/www.etoro.com\/en-us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.etoro.com\/en-us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.etoro.com\/en-us\/wp-json\/wp\/v2\/users\/130"}],"replies":[{"embeddable":true,"href":"https:\/\/www.etoro.com\/en-us\/wp-json\/wp\/v2\/comments?post=1202000"}],"version-history":[{"count":0,"href":"https:\/\/www.etoro.com\/en-us\/wp-json\/wp\/v2\/posts\/1202000\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.etoro.com\/en-us\/wp-json\/wp\/v2\/media\/819735"}],"wp:attachment":[{"href":"https:\/\/www.etoro.com\/en-us\/wp-json\/wp\/v2\/media?parent=1202000"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.etoro.com\/en-us\/wp-json\/wp\/v2\/categories?post=1202000"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.etoro.com\/en-us\/wp-json\/wp\/v2\/tags?post=1202000"},{"taxonomy":"asset_type","embeddable":true,"href":"https:\/\/www.etoro.com\/en-us\/wp-json\/wp\/v2\/asset_type?post=1202000"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}