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A Widely Followed Market Indicator Is Back in the Danger Zone. Here's What That Usually Means for Stocks.


The past two years have been quite the adventure for Wall Street and investors. In the second half of 2021, the ageless Dow Jones Industrial Average (DJINDICES: ^DJI), broad-based S 500 (SNPINDEX: ^GSPC), and growth-fueled Nasdaq Composite (NASDAQINDEX: ^IXIC), notched multiple all-time highs. In 2022, all three indexes stumbled into a bear market. As for 2023, it's been all systems go, with the Dow, S 500, and Nasdaq Composite decisively in the green.

When the stock market gets whipsawed over a relatively short timeline, new and tenured investors are often left wondering when the volatility will end, and where the major indexes will head next.

Image source: Getty Images.

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Source Fool.com

Dow Inc. Stock

€50.46
-0.510%
Dow Inc. shows a slight decrease today, losing -€0.260 (-0.510%) compared to yesterday.

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