Can you believe it? After a week where the Dow Jones saw four days of extreme market volatility (Dow Jones 2% days), and the NYSE saw two days of extreme market breadth (NYSE 70% A-D days), the Dow Jones closed UP 455 points from last week’s close. After all that the Dow Jones in its Bear’s Eye View Chart below is little changed from last week.
Looking at the Dow Jones in its daily bars (next), it’s very apparent how after Friday, February 21st someone (Mr Bear?) changed the rules. From October 1st to February 21st average daily volatility for the Dow Jones was only 0.50%. In the past two weeks it has leapt to 3.01%. And though the Dow Jones closed up 455 for the week, looking at the chart below one thing comes to my mind – Mr Bear is once again hard at work.