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Strategies & Market Trends : John Pitera's Market Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: Terry Whitman who wrote (4939)	10/22/2001 3:58:22 PM
From: John Pitera	Read Replies (1) \| Respond to of 33421

Terry, it can be argued that the corrections in the 1990's were corrections in a secular bull market. Since March of 2000, we've been in a bear market and so the we should very possibly expect advances off of bottoms such as Oct 8th 1998 and the Sept 21 2001 low should act differently with respect to their moving averages such as the 50 and 200. Thanks for posting those charts as I had not considered the charts from that particular angle. you used the NYSE I see the SPX stalled right at it's 200 dma in 1998. the averages are further below their 200 dma's this time comparing them with 1998. The NASD went up for 24 market days in 1998 before having it's initial mini pullback of 2 days, and had a sideways consolidation on it's 36th market day. everyone should take a look at your chart stockcharts.com[m,a]daclyymy[d19980901,19990101][pb50!b200][vc60][iUb14!La12,26,9] to refresh our memories of just how strongly an oversold market can rally from an oversold state, when there is a lot of liquidity around. The darn Nasd ran all the way from Oct 8th 1998 until Feb of 1999 before it had it's first correction back to the 50 dma ..... amazing. John