January 23, 2012 A Never Before Pattern
With the S&P500 closing higher for the fifth straight session, while the DJIA declined and the NASDAQ posted another, second day loss, the market closed with a pattern not seen before. The good news is that five advances for the S&P500 neglecting the other two indices- occur more often when prices are rising.
The diagram locates the 47 days when the S&P500 posted its fifth straight gain. It shows that most of these closes happen when the price trend is up. During the two falling markets of 2000/2003 and 2007/2009, just six such days are on the figure. The other 39 days belong to the two bull markets of this century.
Yet, with the following day having as many losses as gains, a projection for tomorrow is not possible.
DJIA -.09 percent
NASDAQ -.09 percent
S&P500 .05 percent