Replies to post #24298 on FAT CATS

[lady*b]

Posted by: researcher59
In reply to: None Date:2/27/2007 10:10:44 PM
Post #of 66202

The market usually bounces back after a big one day drop - here's some interesting historical data from CNBC - but beware of course that a 400+ point drop is much less significant now with the DOW at 12000 than it was years ago with the DOW at a fraction of that level.

The Dow Jones Industrial Average fell 3.2%, suffering its biggest drop on a percentage basis since March 2003 when it fell 3.6%.

It was the worst point decline for the blue-chip index since Sept. 17, 2001, the first day of trading following the 9/11 terrorist attacks.

The Nasdaq had its largest percentage drop since September 24, 2003 and the S&P 500 was on pace for its first five-session losing streak in three years.

The Dow has dropped 500 points or more only 5 times, the first time occurring on Oct. 19, 1987 (ranked by largest point loss):

09/17/2001: The Dow falls 684.813 points or 7.13%
04/14/2000: The Dow falls 617.777 points or 5.66%
10/27/1997: The Dow falls 554.255 points or 7.18%
08/31/1998: The Dow falls 512.613 points or 6.37%
10/19/1987: Black Friday, the Dow fell 508 points for a 22.61% drop or $500B loss in one day

Largest One-Day Percentage Drops for the Dow, S&P 500 and NASDAQ in the same day sorted by the Dow change:

10/19/1987: The Dow fell 22.61%, the S&P fell 20.46% & the NASDAQ fell 11.35%
10/26/1987: The Dow fell 8.04%, the S&P fell 8.28% & the NASDAQ fell 9%
10/27/1997: The Dow fell 7.18%, the S&P fell 6.87% & the NASDAQ fell 7.02%
09/17/2001: The Dow fell 7.13%, the S&P fell 4.92% & the NASDAQ fell 6.83%
10/13/1989: The Dow fell 6.91%, the S&P fell 6.11% & the NASDAQ fell 3.09%
01/8/1988: The Dow fell 6.85%, the S&P fell 6.78% & the NASDAQ fell 3.20%
08/31/1998: The Dow fell 6.37%, the S&P fell 6.79% & the NASDAQ fell 8.56%
04/14/2000: The Dow fell 5.66%, the S&P fell 5.78% & the NASDAQ fell 9.67%
07/19/2002: The Dow fell 4.64%, the S&P fell 3.84% & the NASDAQ fell 2.79%

Market Performance 1 Day, 1 Week, 1 Month After a Large drop in the Dow.

The market averages are the most bullish after 1 month, and in the case of the S&P 500, after a 400 point drop or greater, the S&P is positive 100% of the time, an average of 5%.

After a 400 point drop in the Dow (6 Occurrences):

1 Day later the Dow is up 83.33% of the time an average of 3.58%
1 Day later the S&P 500 is up 83.33% of the time an average of 3.79%
1 Day later the NASDAQ is up 66.67% of the time an average of 5.20%
1 Week later the Dow is up 66.67% of the time an average of 4.23%
1 Week later the S&P 500 is up 66.67% of the time an average of 3.91%
1 Week later the NASDAQ is up 66.67% of the time an average of 5.46%
1 Month later the Dow is up 83.33% of the time an average of 5.67%
1 Month later the S&P 500 is up 100% of the time an average of 5.01%
1 Month later the NASDAQ is up 83.33% of the time an average of 5.86%

After a 200 point drop in the Dow (74 Occurrences):

1 Day later the Dow is up 56% of the time an average of 1.5%
1 Day later the S&P 500 is up 64% of the time an average of 1.47%
1 Day later the NASDAQ is up 58.67% of the time an average of 2.27%
1 Week later the Dow is up 61.33% of the time an average of 3.08%
1 Week later the S&P 500 is up 60.81% of the time an average of 3.28%
1 Week later the NASDAQ is up 58.11% of the time an average of 5.05%
1 Month later the Dow is up 69.33% of the time an average of 5.93%
1 Month later the S&P 500 is up 74.67% of the time an average of 5.60%
1 Month later the NASDAQ is up 66.67% of the time an average of 9.49%

http://www.investorshub.com/boards/read_msg.asp?message_id=17453170

[serfdom]

Can you image how the shorts must have been frying these past months? They've probably been shorting and shorting more, trying to get ahead even as the indices were climbing and margin calls were piling up...

They were probably making promises in December, ignoring the phones in January, but in February there was a knock on the door.

Enter: Yahoo! Finance and our friends, the Chinese.