What’s Next After the Bounce?

Since the famous lows at 666 in 2009 all bigger corrections in S&P 500 have looked and behaved pretty much the same:

• The first part of the correction has been rather quick taking the index down by 12-14%
• The subsequent bounce reached the upper part of the Bollinger band
• The next move down revisited the recent local low and in a few instances the index briefly made new local lows

If history repeats or only rhymes is to be seen, but this is how the bigger corrections looked like:

2010

2011

2015

2018

Source: charts by Bloomberg