• SPX Up Seven Days In A Row, Now What?

    by  • September 12, 2013 2:25 pm • Breaking News, Broad Market Analysis, Quick Hits • 0 Comments

    With over an hour to go, the SPX is pretty close to being up eight days in a row.  None the less, even it we finish red today, up 7 days in a row is nothing to ignore – as it is rather rare and suggests  there is some serious buying taking place.

    Looking back at the past 40 years, the SPX has had 43 different 7-day winning streaks.  Breaking it down, going out two weeks this actually seems to perform about with the average S&P move.  So up a lot isn’t by itself bearish.

    What really stands out above though is going out a month, after a 7-day win streak the SPX is actually up nearly twice as much as the average one-month return!  It comes out to +1.25% versus +0.65% (the median returns are again about double).

    So this much strength might need a little time to catch it’s breath, but overall this is a bullish looking signal.

     

    About

    Ryan Detrick is the Senior Technical Strategist at Schaeffer's Investment Research in Cincinnati, Ohio. He joined Schaeffer’s in 2003 and is a frequent speaker and writer on stock market and economic issues and is widely sought after by financial media for his expertise and commentary. Mr. Detrick is a common guest on CNBC, Fox Business, and Bloomberg Television and has been quoted in outlets such as The Wall Street Journal, BusinessWeek, USA Today, Reuters, the Associated Press, and others. With a decade of financial industry experience in the investment and financial services area, strengths include short-term trading with an eye toward timely technical- and sentiment-based trading opportunities, and advanced option trading strategies. Mr. Detrick received a BA in finance from Xavier University, an MBA in finance from Miami University, and has earned his Chartered Market Technician (CMT).

    http://schaefferstradingfloor.com/

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