Q: How has the DJIA.A responded to trading below its 20-day lowest low 1 value ago and Triple Witching 1 value later?
A: According to the 11 previous occurrences of this event omitting any repeat occurrences within 10 trading days, EventEdge® indicates that DJIA.A has shown a strong bullish edge that peaks 30 trading days after the event. Thus, the projected date for the peak of the bullish edge relative to the current event date (Thursday, 19 June 2008) is Friday, 1 August 2008.
DJIA.A rallies in 91% of the cases (10 of 11) by an average of 5.4% relative to the close on the event date. The average of the 1 decline is -3.0%. The overall return of the 11 cases is 4.6%, which, based on the close of DJIA.A on the event date (12,063.09), provides a target price of 12,617.99.
To see this in EventEdge® click here.
HYPERLINK "http://www.markethistory.com/staff/detail.html?s=mickey"Mickey Schoenhals is an analyst with Markethistory.com.
Related Ideas: The Dow and Triple Witching - March 16, 2007
