July 10, 2012 Only Five Other Such Losses Since 2000
With the DJIA and the S&P500 dropping for the fourth straight day, while the NASDAQ fell for the third day in a row, the market revisited a pattern seen just five previous times in this century. Yet the last three repeats hit the tape since March 2009, the beginning of the current price recovery.
What can be the meaning of this rare pattern clustering in the last few months? Further, we point out that several of the patterns posted in recent days have been concentrated in this same period.
The diagram locates these days, with the size of each loss indicated by the numbers in red.
Note that the most previous repeat happened just weeks ago, on May 17, 2012. Moreover, prices continued to fall on the following day, with losses of -1.2 percent for the DJIA, -2.1 percent for the NASDAQ, and -1.5 percent for the S&P500.
DJIA -.65 percent
NASDAQ -1.00 percent
S&P500 -.81 percent
