123Tom's TA study group

[sab63090]

FWIW:

Downside reading was 94% earlier

The historical record shows that 90% Downside Days do not usually occur as a single
incident on the bottom day of an important market decline, but typically occur on a number of
occasions throughout a major decline, often spread apart by as much as thirty trading days. For
example, there were seven such days during the 1962 decline, six during 1970, fourteen during the
1973-74 bear market, two before the bottom in 1987, seven throughout the 1990 decline, and three
before the lows of 1998. These 90% Downside Days are a key part of an eventual market bottom,
since they show that prices are being deeply discounted, perhaps far beyond rational valuations,
and that the desire to sell is being exhausted