Up for nine days, the DJIA did not set a record, but the last time this happened was in 1996! The record shows 21 such days, and while these are far from common, note that they occurred many years ago. Ordinarily, the focus of our analysis is from the year 2000 on; today, however, we consider the 1977/1987 period because the DJIA had six runs of nine consecutive up closes.
The most important conclusion of this comparison is that nine DJIA pluses in a row do not mean that prices will decline, or that a strong up trend will end. Our diagram reveals that prices continued to accelerate after four of these six nine-up-days-in-a-row for the DJIA. There was one short pause, when prices declined before resuming their growth.
Further, considering the one case when prices fell significantly after a nine day run, this was just a temporary pause before the market continued its former rate of appreciation.
As for the following day, in the past prices moved higher four times and declined on two of the next days.
For the record, the longest runs between 1950 and 1999, are 19 up days for the NASDAQ, 14 for the S&P500 and 13 continuous advances for the DJIA. In this century, the records are 12 straight increases for the NASDAQ while the DJIA and the S&P500 have 9 each; all of these took place during either the 2003/2007 or the current, since 2009, upswings.
DJIA .04 percent
NASDAQ .09 percent
S&P500 .13 percent
