Christmas rally really lives up to its name! There are many ironclad rules in the U.S. stock market that are widely recognized—not guaranteed to rise, but with high odds. For example, historical stats for the Christmas rally show a win rate close to 80%, and it’s not just superstition. 1. Quadruple Witching Day is the release of settlement pressure. After settlements are completed, the market’s technical selling pressure and hedging constraints disappear, often leading to a rebound as resistance is removed. 2. To chase impressive institutional performance, fund managers tend to buy the year’s best-performing stocks (like AI leaders in 2025) at the end of the year, while eliminating weaker stocks. 3. Tax strategies: U.S. investors often sell losing stocks at the end of December to offset taxes. Once January begins, selling pressure drops sharply, funds flow back into the market, and combined with new pension account contributions for the year, it creates a rebound.