Weekly Wins: How to grasp market trends timely?

• HopeAlways : While Santa Claus may not be real, the Santa Claus Rally is a real enough phenomenon. The term refers to the idea that the stock market tends to increase during the period just before Christmas through the end of the year. The Santa Claus rally is based on long term statistics and theories about how investors behave around the end-of-year holidays, but cannot be assured in any given year, in direction or magnitude. Investors have much more clarity on interest rate hikes and inflation now. These elements seem to have already been priced in the market, thus making a Santa Claus rally in the last few trading days of the year likely. Whether the Santa Claus rally eventually materialises or not will not really alter my investment decisions. Instead, I will continue with my investing strategy of seeking to buy and hold on to good quality stocks of solid businesses, which are trading below their intrinsic value. My investment plan for 2022 will be to continue with using dollar cost averaging to mitigate risk in my long term investing strategy.

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• Syuee : A seasonal rally that has been observed during the festivities has got investors believing in the Christmas magic. And, I am one of them.
  
  The Santa Claus Rally is a historical pattern related to a year-end stock rally.
  
  While it is not guaranteed, stocks tend to rally during the final five trading sessions of the year. The same occurs in the first two trading days of the new year too. 
  
  Historically, this market phenomenon has frequently delivered positive returns and a rise in stock prices. But, as with all seasonal effects, there is no guarantee that investors will see gains in any particular year. Past results also cannot prove future performance, although data suggests that Santa rallies happen more often than not.
  
  This year, the sentiment could be positive among investors based on optimism that the new year may be the last for the pandemic. But, the latest variant, Omicron, has also brought with it some concern and pessimism.
  
  From now and the end of the year, the news will be inundated with statistics tracking retail sales and seasonal trends. Although interesting, such seasonal trends are not guaranteed. Instead of trying to make a short-term gain, I will choose to focus on executing a solid long-term investment strategy.
  
  My plan for the 2022 investment? Personally, I wish to achieve strong financial returns while supporting companies with sustainable, future-oriented business practices, like ESG investing.
  
  ESG investment is here to grow. Most of the top investors do factor in climate risk in their risk assessment models. The reason is pretty clear. Climate change is for real and will negatively impact large parts of the world.
  
  I have a little dream… and that is to make my portfolio reflect my best vision for my future. I like to think way ahead. Be optimistic. I will keep pondering about the world that I hope to create… and also do my part to help shape the world.
  
  $NextEra Energy (NEE.US)$$Coca-Cola (KO.US)$$Danaher (DHR.US)$$Microsoft (MSFT.US)$

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• Syuee HopeAlways : Great investment strategy and plan for 2022. Santa Claus Rally or not, we all still need hope and a ray of sunshine to keep us forging forward.

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• VCSuccess HopeAlways : Wishing and hoping for Santa rally. But you're right. Rally or not, long term investment is still the way to go.

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• HopeAlways Syuee : A wise strategy like yours is likely to yield very positive outcomes. May your dream be realised in time to come.

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• 101767718 HopeAlways : The market is ripe for the Rally. We are all waiting..

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• HuatEver HopeAlways : Irregardless of whether Santa Rally does exist, or it is simply a wishful myth, your strong mindset of investing in blue chips stocks for Long term growth are well founded.

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• HuatEver Syuee : I like your spontaneous optimism in dwelling what you wish to accomplish and not to dwell on what you do not want.

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• jasonleett HopeAlways : True enough... In fact, stock rises and dips can be seasonal... One will only need to be observant enough to capitalize on such chances.

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• YL tan HopeAlways : Long term wise, we still need to go for good stocks which are value buy.b

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