April 28, 2011 Seventh Gain in a Row for NASDAQ
The good news from the NASDAQ continues. Today, as the headline reports, the index extended its streak of positive closes to seven, a record repeated on only 17 other days in the past ten years. The DJIA and the S&P500 both moved up for the third successive session since 2000.
That combination up seven for the NASDAQ and three for the DJIA and the S&P500- is a first for this century, although it happened on 8 occasions before the new decade started.
The good news offered by the NASDAQs seven uninterrupted daily increases results from the timing of these advance. With the diagram marking these closes with a solid red dot, it is easy to recognize that these came about only when prices were moving higher.
Furthermore, while this history substantiates the feeling that the current markets rise is far from over, it reveals also that in the past NASDAQs prices rose twice as often on the next day as they declined. However, the projection that the DJIA and the S&P500 will move up likewise, for a fourth day in a row, generates less confidence. This result, up 8 days for NASDAQ and 4 days for the DJIA and the S&P500, occurred just once before, in July 2009.
DJIA .57 percent
NASDAQ .09 percent
S&P500 .36 percent