Thursday, July 18, 2013

an tSionna {The Current Market Rally}

From Chart of the Day.com.  Current rally as measured by the Dow Jones Industrial Average.  I suspect they use the Dow because there is not as much historical data on the S&P 500.

"......As today's chart illustrates, the Dow has begun a major rally 13 times over the past 112 years which equates to an average of one rally every 8.6 years. It is also interesting to note that the duration and magnitude of each rally correlated fairly well with the linear regression line (gray upward sloping line). As it stands right now, the current Dow rally that began in March 2009 (blue dot labeled you are here) would be classified as well below average in both duration and magnitude. However, when compared to the most recent post-major bear market rally (i.e. the rally that began in 2002), the current rally is significantly greater in magnitude and accomplished this feat in less time."


*Long ETFs related to the S&P 500 in client and personal accounts.  Long ETFs related to the Dow Jones Industrial Average in certain client accounts.