+

Cookies on the Business Insider India website

Business Insider India has updated its Privacy and Cookie policy. We use cookies to ensure that we give you the better experience on our website. If you continue without changing your settings, we\'ll assume that you are happy to receive all cookies on the Business Insider India website. However, you can change your cookie setting at any time by clicking on our Cookie Policy at any time. You can also see our Privacy Policy.

Close
HomeQuizzoneWhatsappShare Flash Reads
 

The Dow has a chance to do something it's only done 6 times since 1980

Jul 20, 2016, 19:38 IST

Michael Jackson stands with President and Nancy Reagan May 14, 1984 on the south lawn of the White House prior to receiving an award from the president for his contribution to the drunk driving awareness program.Scott Stewart/AP Images

The stock market has hit a lot of records lately.

Advertisement

All-time highs for the Dow Jones Industrial average, likewise for the S&P 500, even the bond market is making history (though for lows, not highs).

With the Dow opening higher Wednesday, stocks have a chance to do something else historic, according to Nautilus Investment Research.

"We highlight two momentum signals we will be watching today," said a note from Tom Leveroni of Nautilus. "An up close in the Dow Industrials today will give it 9 consecutive up closes, a rare feat of trend persistence."

In fact, if the Dow hits the ninth straight up day in a row, it will be only the seventh time this has happened since 1980. In each of these instances, albeit on a small sample size, the index has been up the following six months with an average gain of 10.41%.

Advertisement

The largest of these upward moves was 22.05% after the market hit the streak on January 14, 1987, and the smallest was a 4.72% gain in the six months after it was hit on New Year's Eve 1991.

Additionally, according to Leveroni, this is just the 30th time this has happened since 1900, and the average gain in the following six months has been 5.96%.

So here's to another (maybe) record.

NOW WATCH: Here's what popular dog breeds looked like before and after 100 years of breeding

Please enable Javascript to watch this video
You are subscribed to notifications!
Looks like you've blocked notifications!
Next Article