Over the weekend, I showed a Chart of the Day depicting all of the major rallies since 1900.
A sharp eyed reader pointed out that the author of this particular chart dated the beginning of this rally as October 2011, rather than March 2009.
Below you will find my corrected version, with the markets up approximately 98% going on 720 or so trading days. (my changes should be pretty obvious)
Chart of the Day responds to our questions, noting:
“Each of the rallies displayed on the chart followed a major Dow correction with a major Dow correction being defined as a decline of 15% or more. By that definition, the last Dow correction ended on October 3, 2011 with a decline of 16.8%. When compared to the latest major Dow correction, there were several relatively recent corrections that were shorter in duration (e.g. 1987 & 1990) and as for magnitude – the 1983-84 correction was similar with a decline of 15.6%.”
I’d like to see the same chart controlled for 20% and 30% corrections.