This is a follow up to a post I originally made at See It Market. (Link will open in a new window)
While doing a 10 year chart of the S&P 500 and measuring the corrections, I noticed a pattern that started in August 2013. Notice how the pullbacks are getting smaller and almost the same percentage ? 4.80%, 4.27% and 4.37%
Below is the original chart.
Now, the below chart really has my interest. Why ? The current pullback is 4.34% and price is climbing. So in summary, the last 4 pullbacks are all within 0.6% or less of each other. Coincidence ? Personally, I don’t think so. Computerized trading programs picking price up just before a 5% pullback .. looks that way to me.
This will be very interesting to watch.