The 1929 & 2007 Bear Market Race to the Bottom
Week 56 of 149
BEAR RACE WEEK 56
7 November 2007
Here is the BEV chart for the Bear Race.
The BEV (Bear's Eye View) results for week 56 in the Dow Jones' 1929 & 2007 bear market's race to the Bottom are as follows:
1929: -43.93% from its all time weekly closing high price of 380.33
2007: -36.54% from its all time weekly closing high price of 14,093.08
Below is my volatility chart comparing 2007's 200-day moving average closing price volatility with 1929 bear market volatility.
This is a new feature that will be included each week. The BEV chart above is weekly closing price data, the volatility chart below is daily closing prices data.
Note: 2007 values are actually positive. They were inverted so 1929 would fit on top and 2007 on the bottom. So for 2007, please forget the negative valuations and focus on the percentages.
1929, 200 Day Moving Average Volatility: 1.20%
2007, 200 Day Moving Average Volatility: 1.48%
We should see the 2007 Bear's 200 day moving average cross the 1.5% line next week. The 40day moving average is heading straight up.
(Remember, with the 2007 data up is down and down is up.)
Historically, daily 1% swings from the pervious day's closing price in the DJIA, while not uncommon, should not occur on a almost daily basis. The stock market is running a fever with its "Persistent, Extreme Volatility." See my new article on market volatility from 1900 to 2008.
Dow Jones -40% Declines From 1885 to 2008 is the article that inspired this race of 1929 & 2007 Bear Markets. You may want to read that article to understand my "BEV Chart."
Dow Jones Industrials Average Market Volatility is the source for my volatility studies.
Note For the Record: Mark Lundeen does not want a devastating bear market in the next two years. However, in full view of Congressional Market Oversight Committees and under the supervision of Government Regulatory Agencies, things were done that I believe will make a historic bear market inevitable. If you have a problem with this bear market, contact Washington, not Mark Lundeen.
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