Did the market even correct itself for the year?

[korekaza]

I was wondering what you guys thought about the big drops during the end of August and how now the prices of the shares have all recovered. Does this mean another correction is on the way or will prices just continue to rise for the rest of the year?

 

[JTH]

Don't let the Bears disturb you, this is the worst time of the year to "time" the markets.

Generally speaking 10% is a correction, 20% is a bear market.

All the major indexes (I track) did put in a correction, that ended in September to Early October.

Over the past 41 years, there have been 2 bear markets (no corrections) during Oct-Dec

Together, the 3 months of Oct-Dec have 76% winning ratio with 3.94% average gains over the past 41 years.

Together, the 4 months of Oct-Jan a 78% winning ratio with 5.23% average gains over the past 41 years.