Study: How Long Does It Take For A 10%+ Correction To Make New Highs
The S&P has fallen 11.8% already during this “small correction”. Assuming that the bottom is in already (February 9, 2018 = the bottom), the S&P has rallied for 48 days already. Is this normal? How long does it usually take for a 10%+ “small correction” to reclaim its old highs?
Here are the bottom dates for 10%+ “small corrections”
- June 4, 2012
- August 16, 2007
- February 28, 2000
- October 18, 1999
- October 28, 1997
- April 14, 1997
- July 16, 1996
- January 30, 1990
- September 29, 1986
- February 13, 1968
- June 29, 1965
- October 11, 1955
Here’s how many days it took for the S&P 500 to make a new high.
June 4, 2012
It took 55 days for the S&P to make new highs.
August 16, 2007
It took 35 days for the S&P to make new highs.
February 28, 2000
It took 16 days for the S&P to make new highs.
October 18, 1999
It took 21 days for the S&P to make new highs.
October 28, 1997
It took 26 days for the S&P to make new highs.
April 14, 1997
It took 15 days for the S&P to make new highs.
July 16, 1996
It took 42 days for the S&P to make new highs.
January 30, 1990
It took 82 days for the S&P to make new highs.
September 29, 1986
It took 46 days for the S&P to make new highs.
February 13, 1968
It took 51 days for the S&P to make new highs.
June 29, 1965
It took 60 days for the S&P to make new highs.
October 11, 1955
It took 23 days for the S&P to make new highs.
Conclusion
It has been 48 trading days since the S&P 500 bottomed on February 9, 2018. Provided that the bottom is already in, it can take up to another 2 months before the S&P makes a new high. This means that the S&P should make a new all-time high by the time summer 2018 rolls around.
Comments
