Defined this way, there were only about 30 such drops since 1950, and the last one was 3/03. At the end of the 20d period containing the drop, the SP500 close was used to determine the return since the close at the end of the last such drop (i.e., return to buying at end of prior drop and holding to end of current one). The average return for the 30 cases was 23%, which suggests that waiting for big declines to invest is expensive business:
http://www.dailyspec...ordpress/?p=959
Waiting for that 10% decline
Started by
stocks
, Feb 26 2007 08:05 AM
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#1
stocks
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Posted 26 February 2007 - 08:05 AM
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Defenders of the status quo are always stronger than reformers seeking change,
UNTIL the status quo self-destructs from its own corruption, and the reformers are free to build on its ashes.
Defenders of the status quo are always stronger than reformers seeking change,
UNTIL the status quo self-destructs from its own corruption, and the reformers are free to build on its ashes.
