Up for the fourth straight day, the S&P500, though gaining a mere .56 percent, posted another new high. The other two averages, however, posted their first gain after falling the day before. This extremely rare pattern happened this past July –and only three other times since 1996.
Therefore, we focus today on four advances of the S&P500 while the DJIA and the NASDAQ closed with different counts.
With our diagram revealing 38 such days, with all but five coming during bull markets, this pattern clearly signals prices moving higher.
In the past, the following day posted gains more often than losses.
DJIA .72 percent
NASDAQ .31 percent
S&P500 .56 percent
