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Weekend Stock Market Analysis

(7/26/14)

One of the more remarkable statistics during the past few years is that the S&P 500 has closed higher in 20 out of the last 24 months.  Since the early 1870's this has only occurred four other times (mid 1990's, late 1930's, early 1900's and early 1880's).  In three out of these past four events the market went through a corrective phase (points a to b) while the one in the mid 1990's was followed by more upside from 1997 through 1999 (points c to d).  However even this event was eventually followed by a 9 year corrective pattern from 2000 through early 2009.   So the question becomes what happens this time around? 

 

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