After a slow start, the market picked up and at the close the NASDAQ was up 2.68 percent, while the S&P500 gained 1.55 percent and the DJIA rose 1.19 percent. This result is quite different and in the opposite direction- from the tabulation of history described in yesterdays analysis. There, the expectation, based on past performance, was not only for a decline, but also that if there were gains, they would be than two percent.
Todays result, combined with yesterdays gain, yields a pattern of two successive plus days for the three indices. There have been 502 such closes since 1950, with 172 of these occurring since January 2000.
However, going back one further day, to Tuesday, yields a single decline for the NASDAQ and S&P500 but a two day decline for the DJIA. This pattern is more unique, with just nine before 2000 and three occasions in this century. Basing the call for tomorrow on this record yields an even number of upticks and declines.
In the past, only one day had a close similar to todays magnitudes for the three indices. That was in November 2003, when the market was already well on the road to recovery.
DJIA 1.19 percent
NASDAQ 2.68 percent
S&P500 1.55 percent