Here comes the end-of-year positioning season

Mid-week market update: We are entering the time of year when investors and traders position themselves for the end of the year. These conditions have made it more challenging for anyone trying to trade based on conventional technical analysis.
 The most obvious is tax loss selling, when investors harvest losses to offset their (likely) considerable gains of 2024. Another is hedge funds shutting down their books in order to avoid the thin and potentially volatile market environment during the last two weeks of December.

We likely saw some hedge fund profit taking this week when Bespoke observed that winners were being sold and losers were being bought. This is consistent with market-neutral or long-short funds squaring their books for the year.
The full post can be found here.