Jack Gillen, a prominent American financial astrologer (1932-2022), especially known for his book The Key to Speculation on the New York Stock Exchange (first published in 1979, revised 2009), attributed the Year-End Rally—often called the "Santa Claus Rally"—primarily to astrological influences, particularly the Sun's annual cycle and its interactions with key points in the natal charts of the New York Stock Exchange (NYSE) and the United States. In Chapter VIII ("Year-End Rally") Gillen framed this as a predictable seasonal pattern driven by planetary transits, rather than purely economic factors, emphasizing that markets follow cosmic rhythms with mathematical precision.
NYSE Natal Chart (New York, NY, May 17, 1792 8:52 am).
Core Astrological Mechanism: Gillen explained the rally as a direct result of the Sun's transit through Capricorn (around December 22–January 20), specifically when the Sun reaches 5–9 degrees Capricorn. This position forms a harmonious trine aspect (120-degree angle) to Venus at 5 degrees Taurus in the NYSE's natal chart (May 17, 1792). The trine creates bullish energy, boosting prices and volume as the Sun—a symbol of vital energy and trends—activates fixed, stable points in the market's "birth chart."
▪ This aligns with a grand trine involving other NYSE chart points: Mercury (23° Taurus), Sun (27° Taurus), and Mars (18° Virgo), plus Neptune (24° Virgo) and the Part of Fortune (25° Taurus) in the US chart.
▪ Capricorn, ruled by Saturn, governs government policies and market conditions (within a 4-degree orb), but the trine's positive flow overrides restrictions, leading to upward momentum from Christmas to New Year's.
▪ The Moon plays a supporting role for daily timing: New Moon to New Moon cycles signal short-term moves, while the Moon's transits (e.g., from Virgo to Pisces) enhance long positions during this period.
Broader context: The Sun's 365¼-day cycle through the zodiac creates annual highs (January to late July, Aquarius to Aries) and lows (late July to October, Leo to Libra). The year-end rally acts as a "reset," balancing the year's trend, with the US chart's Cancer cluster (opposed by Capricorn) adding tension that's resolved bullishly.
Historical Patterns and Reliability: Based on data from 1900–1970 (which Gillen noted holds pre-1900 as well), the DJIA closed higher on the last trading day of the year 86% of the time (only 11 minus closes). Gains averaged positive, with the largest in 1967 (+17.74 points) and the biggest loss in 1966 (-13.61 points). Exceptions occur ~14% of the time due to disruptive factors like:
▪ North Node squares to US Jupiter in Cancer (e.g., 1911: -0.43%; 1930: -0.62%; 1968: -8.57%).
▪ Mutable sign influences (Sagittarius/Pisces) from Uranus for erratic volatility.
Gillen tied this to longer cycles:
▪ Sun's 19-year eclipse cycle (6,585.321 days): Shifts trends via Moon-Sun eclipses.
▪ Jupiter (12 years/sign): Expansion highs (e.g., Jupiter in Leo in 1978 amplified rallies).
▪ Saturn (2½ years/sign): Restrictions in Capricorn cause depressions but are softened by year-end trines.
▪ Uranus (7 years/sign): Erratic breakouts in mutable signs.
▪ Jupiter (12 years/sign): Expansion highs (e.g., Jupiter in Leo in 1978 amplified rallies).
▪ Saturn (2½ years/sign): Restrictions in Capricorn cause depressions but are softened by year-end trines.
▪ Uranus (7 years/sign): Erratic breakouts in mutable signs.
Volume is crucial: It builds during rises (buy signal) and declines during falls (sell signal), mirroring the DJIA's tide.
Connection to the January Effect and Yearly Trend: A hallmark of Gillen's analysis is the January-year-end symmetry: "If the market shoots up in January, it will be up in December; if it’s low in January, then it's going to be low in December, at year's end." This ~80% accurate "balance" reflects the Sun's opposition (Cancer-Capricorn axis) resolving the year's energy. January's bullish tide (Aquarius ingress) sets the tone; low volume in weak months (February–March, July–August, October–November) tests but doesn't break the cycle.
Predictions and Trading Advice: Gillen predicted the rally persisted "year-after-year" unless heavily afflicted (e.g., Saturn in Capricorn for panics like 1929). For 1979 (his writing era), he forecasted lows in stocks like PPG Industries ($14–15) due to Saturn, but highs via Jupiter returns. Modern application: Monitor Sun aspects and volume—afflictions intensify bear phases, trines soften bulls.
▪ Buy strategy: Enter longs during Moon transits Virgo–Pisces (70–100% success for gains); target cycle lows (e.g., Gould, Inc. at $10 in Dec/Jan–Feb).
▪ Sell strategy: Exit at resistance highs (e.g., $26–$28); avoid weak months.
▪ General rule: "Always remember that the key factor in buying a stock is volume. As the volume builds, the prices rise. When volume declines prices fall." Align trades with corporate "birth signs" and ride the DJIA tide rather than fighting cycles.
Gillen's approach blends astrology with empirical stats, viewing the rally as cosmic inevitability rather than luck. For deeper dives, his book details tools like sensitive Sun/Moon degrees for precise timing. While unconventional, his methods have influenced financial astrology, with historical backtests showing high consistency.
Jack Gillen based his analysis primarily on data from 1900–1970. Below are the exact statistics he presented in The Key to Speculation on the New York Stock Exchange (Chapter VIII), followed by updated figures through 2024 for the Dow Jones Industrial Average (DJIA) and S&P 500.
Gillen emphasized that the 10–11 failures almost always coincided with heavy nodal afflictions (North Node square or opposition to US Jupiter or NYSE Venus) or strong Saturn restrictions.
Updated Statistics (1900–2024, 125 years) – DJIA.
Classic “Santa Claus Rally” Definition: The last 5 trading days of December plus the first 2 trading days of January (7 trading days total).
"Santa Claus Rally" Stats for the DJIA and S&P500 (1950-2024).
Notable Recent Exceptions (Failures of the Year-End Rally)
▪ From 1900–1970: Gillen’s claimed 86% success rate for the final trading day is accurate for that specific sample.
▪ From 1900–2024: The success rate has declined to approximately 75% as markets have become more global, algorithmic, and influenced by macroeconomic events.
▪ From 1900–2024: The success rate has declined to approximately 75% as markets have become more global, algorithmic, and influenced by macroeconomic events.
▪ The broader 7-day Santa Claus Rally (last 5 of Dec + first 2 of Jan) remains one of the most consistent seasonal patterns, still positive more than 75% of the time since 1950, with an average gain of around 1.3–1.4%.
Gillen’s core astrological thesis—that the Sun’s trine to NYSE Venus in early Capricorn drives the rally—continues to align with the majority of positive outcomes, although the edge has moderated in recent decades compared with his original 20th-century sample.
So what about the turn of the year 2025-2026? The usual year-end rally should still show up, with the Sun making its normal supportive link to the NYSE chart. But Saturn’s square to natal Venus (December 8), North Node pressure, and Uranus conjunct the NYSE Sun (December 30) introduce stress and the risk of sudden drops. The Moon’s difficult angles on December 24–25 and January 1 can briefly stall momentum, making the “Santa Rally” weaker and choppier than usual — upward overall but marked by sharp dips and low-volume days. Jupiter’s trine supports a rebound around January 3–10, but December 23–January 2 still favors light shorts. Overall: a cautious, shortened rally, not a full failure.
» Mid-December, the market starts to take off, and that's where we get our Santa Claus rally, which I must
remind everyone is really an indicator and not some tradeable rally. « — Jeff Hirsch, December 1, 2025.
See also:
Jeffrey A. Hirsch (November 25, 2025) - December Post-Election Year Seasonality of US Stock Markets.
remind everyone is really an indicator and not some tradeable rally. « — Jeff Hirsch, December 1, 2025.
See also:
Jeffrey A. Hirsch (November 25, 2025) - December Post-Election Year Seasonality of US Stock Markets.