The Big Mo

by Mark Hulbert Wednesday, July 14, 2010

Commentary: History suggests rally will continue for at least a few more days

It would appear that the stock market has built up enough momentum to keep the rally going for a while longer.

By rising for six straight sessions, in fact, the market possesses significantly above-average prospects of continuing to perform well over the next couple of weeks.

That at least is the conclusion I drew after analyzing all past instances in which the Dow was able to rise for six days in a row.

It turns out that, since the Dow Jones Industrial Average (NYSE: ^DJI - News) was created in the late 1800s, there have been more than 600 instances in which the Dow's wining streak lasted at least six days. That's more than a big enough sample to support some interesting statistical tests.

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