All the three indices fell as the week started; however they recovered from early losses deeper than -1 Percent, and ended the session with the S&P500 off -.14 percent while the other two averages dropped -.36 percent.
Todays decline, the second in a row since Thursdays gain, yields a pattern of -2/+1. This combination has occurred 70 times since the beginning of 2000. It is the 9th so far this year. Moreover, their frequency is far greater in bad times than in bull markets. The 2003 decline encountered 11 of these patterns; there were 10 in 2008.
While unease about the lack of price appreciation will surely hold back the market, todays diagram reveals a common thread of this recovery with that of 2003. As noted before, the earlier path of the S&P500 decline had a steeper but shorter loss profile than in 2000. Yet, while that pace has slowed since April, the similarity of the current path with that of the previous recovery seems well matched.
DJIA -.36 percent
NASDAQ -.37 percent
S&P500 -.14 percent