Why a year end rally is more than likely?

 Sharing an interesting analysis about the possible year-end rally. 

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 Nine Lower Lows Portend Gains Ahead

Since 1993, there have only been four times the S&P 500 had a lower low for nine consecutive days or more. The fourth instance was recorded on Wednesday. Such doesn’t mean the market was down nine days in a row. However, at one point during each of the nine trading days, it did reach a lower level than the prior day. The graph below highlights the three previous instances and the current one. In the three earlier cases, the index posted a strong performance for the next 50 trading days. As shown, two of the three also had good 20-day returns following the end of the streak. Like the current extreme RSI reading, this, too, points to a likely reversal in the coming days.