Year-end markets are bullish across the board, presenting a prime opportunity for early investments riding the "gentle upward trend" in the stock market.



The US stock market is in the midst of the Christmas rally at year-end, with major indices continuously hitting record highs. The S&P 500 has fully recovered the decline in December with Monday’s gains, and is on track to mark its eighth consecutive monthly increase, a record since 2018. Meanwhile, gold and silver are hitting all-time highs, and platinum is approaching record levels, as the cryptocurrency market also faces a correction phase after a sharp rally.

**Technical Indicators Point to Further Upside**

Behind this rally are clear technical factors. Last Friday’s "Triple Magic Day" options expiration saw a large volume of bullish positions accumulated in the 6700–6800 zone of the S&P 500 being unwound. This has removed obstacles to further price increases.

The VIX volatility index has fallen below 15, reaching its lowest level since August. As short-term implied volatility continues to compress, market makers’ hedging demand is shifting into a trend-following phase. Analysts interpret this as a "market entering a gentle upward pace," which is a significant buy signal for early investors.

**Seasonal Advantage and Expectations for 2026**

Historical data shows that the period from year-end to early January is seasonally strong for stock market performance. Early investments during this period have traditionally yielded high returns.

Additionally, investors are already optimistic about 2026. They are considering accelerating GDP growth, expanding corporate profits, and a potential turning point for AI-related stocks, all of which support current buying pressure. The dovish comments from Federal Reserve Board member Mirlain, hinting at the possibility of continued rate cuts, further boost risk appetite.

**Next Technical Target**

From a technical perspective, the next psychological milestone the market is watching is the 7000-point level in the S&P 500. The path to this level is opening up, and cautious early investments are preparing for future gains.
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