Comparing Market Rallies

Here is yet another rally comparo — this one looking at all major market rallies of the last 109 years.  

The Dow has begun a major rally 27 times over the past 109 years which equates to an average of one rally every four years — most major rallies (73%) resulted in a gain of between 30% and 150% (29.8% to 150.5% to be exact) and lasted between 200 and 800 trading days (9.5 months to 3.2 years):


courtesy of Chart of the Day

I think a more informative chart would look at bear market rallies, rather thasn include secular bull markets. It skews the run towards the longer time line.

Originally published at The Big Picture and reproduced here with the author’s permission.
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