Last week we compared sector performance now versus their performance leading up to bear markets. Today we compare how the S&P 500 has performed over the last eighteen months, with the comparable period leading up to each of the bear markets since 1962.
Of the eight prior periods we examined, we found that the current period bears little resemblance to the most recent five, while a case can be made that the earliest three periods bear some similarity to the present. Just as we found in our sector study (and was pointed out in the comments section of last week's post), it appears as though the 1966 period has the most in common with today.
What about similar set-ups that did not lead to bear markets?
Posted by: John Method | March 21, 2007 at 04:57 PM