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To: Return to Sender who wrote (93026)9/20/2024 12:21:08 AM
From: Johnny Canuck1 Recommendation

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Return to Sender

  Read Replies (1) | Respond to of 95353
 
Statistically what happens when you have 2 successive days where the 80 percent of the volume is associate with stocks that move up in price on the day. Is the next day up or down and what happens 1 week after the 2 successive up days.

Sources


[PDF] Completion Time Structures of Stock Price Movements*



rady.ucsd

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1




Consecutive Up Days on the Stock Market and the Gambler's Fallacy



sixfigureinvesting

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2




Stock Prices: 6 Things That Move Them Higher And Lower - Bankrate



bankrate

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3











View 5 more

Answer

Based on the search results provided, there isn't specific statistical information about what happens after two successive days where 80% of volume is associated with stocks moving up in price. The search results don't directly address this particular scenario.However, I can provide some relevant insights based on the available information:
  1. Short-term patterns don't necessarily predict future movements: The article from Bankrate (result 3) emphasizes that stock prices can be volatile in the short term and move for various reasons. It cautions against trying to predict short-term movements.
  2. Consecutive up days don't guarantee future direction: The article on consecutive up days (result 2) shows that even after 3-6 consecutive up days, the average next day returns were mixed, sometimes slightly positive and sometimes slightly negative. This suggests there's no clear statistical tendency for the market to continue up or reverse after a string of positive days.
  3. Price shocks without news can lead to reversals: The University of Toronto study (result 4) found that sudden price jumps without apparent reasons often led to negative returns in the following year. While this doesn't directly apply to your scenario, it suggests caution in assuming short-term momentum will continue.
  4. Multiple factors influence stock prices: As mentioned in result 5, stock prices are influenced by fundamental factors, technical factors, and market sentiment. Two days of positive movement might not be enough to predict future direction given all these influences.
Given the lack of specific data on your scenario, it's not possible to give a definitive statistical answer about what happens the next day or week after two such days. The available information suggests that short-term patterns don't reliably predict future movements, and that multiple factors need to be considered when analyzing stock price movements .For a more accurate answer, you would need to conduct a specific study analyzing historical data for the exact scenario you described.

[Note that perplexity is especially good at this particular topic. It only has access to what papers have been written and available to the public. It does not do a statistic study from the raw data. If such a study is not available to the public Perplexity does not know about it. Perplexity is not a substitute for your own independent research. It is just a starting point to let you what is known to through the information available to the public through the internet.]