May 25, 2011 Market Repeats Last Wednesdays Pattern
Exactly a week ago these three indices posted a configuration of an advance following a string of three straight losses. That pattern of +1/-3 was duplicated today. This is an unusual repetition, because only ten other days before today closed with that pattern. Further, just five of these happened in the past ten years.
Another extraordinary feature of this pair -last Wednesday and this Wednesday- of dates is that todays increases cluster around 50 percent of those posted a week ago.
These matches and similarities could be coincidental, of course; and it would be simplistic to expect the replication to continue tomorrow and the next days. Nevertheless, consider this result. (Moreover, certainly USMarketView will schedule research of this and other repeats.)
Because price changes projected last Wednesday for the following day were realized, we expect advances tomorrow.
DJIA .31 percent
NASDAQ .55 percent
S&P500 .32 percent