The stock market, commodity markets and fixed-income markets have been on some wild rides the past 18 months. We penned 2021 forecast pieces back in January (read here and here), but a fresh look at things for the balance of the year seems like a good idea with commodity plays on the rise, oil prices coming on strong while other areas of the market are cooling.
Let's start our analysis with some monthly candlestick charts.
Dow Jones Industrials
In this monthly Japanese candlestick chart of the Dow Jones Industrial Average (DJIA), below, we can see that prices have made a huge rise over the past decade and a very sharp advance since March of 2020. Taking a little liberty in our methodology we can see an 8 to 10 record high advance since the 2020 pandemic low. Notice the slowing pace of the 12-month price momentum study in the lower panel.