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Christmas week and the market on vacation

Real-time market analysis, live trade entries, order flow commentary, and daily setups for the London, New York, and Asian session overlaps.
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Amanhasnoname
Posts: 1506
Joined: Fri Oct 30, 2026 9:45 am

Christmas week and the market on vacation

Post by Amanhasnoname »

Between Christmas and the New Year, many large participants are away. Trading volume drops, and the market becomes erratic.

Ranges can shrink to a fraction of normal, then jump when a stray order appears. Spreads are wider than usual, and liquidity vanishes quickly.

The reasoning that quiet markets are easy to scalp tends to fail here. The costs stay the same or increase, while the profit potential falls. Moves that appear to be trends often reverse for no reason.

There is also the risk of a thin-market spike, similar to the flash moves discussed elsewhere. Low participation makes the book fragile.

For most scalpers, the best plan is taking the week off or trading very small. It also helps with burnout, a good moment to review the year's journal.

Tracking December results against the rest of the year in past records shows whether the holiday period has been profitable or a drag.

What has the last week of December looked like in the results, and is it traded?
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