August 22, 2012 More Rarities
The NASDAQ moved up .21 percent today, while the DJIA fell -.23 percent and the S&P500 notched up .02 percent. It was the third decline in a row for the DJIA, whereas the NASDAQ and the S&P500 turned positive after two previous losing days.
Today’s is the 13th repeat of this pattern in the past 13 years. Our diagram of the NASDAQ locates these previous closes, and, at the top shows the percentage changes on the following days.
Note the NASDAQ’s severe fall; it reflects the end of the go-go days. Yet otherwise this diagram reflects this patterns’ negativity. On the other hand, it shows the recent switch, from losses to gains. The last four repeats are all positive, with three following day increases exceeding one percent.
If this diagram seems strange it’s because the NASDAQ’s horrific decline – from which it still has not recovered. Yet it reveals the strong recovery, since the 2009 low, of this index, now at 109 percent of the last high in October 2007.
These date allow no projection for tomorrow, since the following day history is split evenly between six gains and six losses.
DJIA -.23 percent
NASDAQ .21 percent
S&P500 .02 percent