August 14, 2012 Another Rare Pattern
The market continues posting unusual patterns: today’s DJIA gain, the NASDAQ loss and the second decline of the S&P500 occurred only five other days in this century. Prices on the following day moved higher as often as they declined.
Here’s a bit of history: of the more than 3,000 sessions since the beginning of 2000, these three averages moved up or moved down less than half the time. There were 832 days when all three moved higher and 728 closes when all three declined.
Further, two-thirds of the all-three-positive days came during bull markets while 62 percent of the all-three-negative days occurred while the trend of prices was down.
DJIA .02 percent
NASDAQ -.18 percent
S&P500 -.01 percent