New Delhi, Dec. 20 -- As the market enters the final stretch of the year, seasonal Indian stock market trends suggests that the so-called "Santa Rally" is far more than a festive myth.

According to an analysis by Jahol Prajapati, Research Analyst at SAMCO Securities, the phenomenon has shown remarkable consistency in the Indian equity market across the last decade.

However, smallcaps have lead this rally over the years. As per the study, small-cap stocks have been the standout beneficiaries of the Santa Rally, generating an average return of 3.55% with a 100% win rate over the last 10 years.

This means small caps have delivered uninterrupted gains during every Santa window in the observed period, a rare streak that reinforces confidenc...