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Can the Big Board Keep Up the Big Gains?

By Jim Cramer

About this article:
How can the NYSE keep going higher? Because it has pretty much every time we get the kind of advance/decline explosion we had from July 27. It is worth reviewing that whenever you have the 10-day advance/decline for the NYSE above 2 to 1, you get dramatic gains three, six and 12 months later. The eight previous times we have had 12%, 17% and 20% gains, respectively. I point this out because this market doesn't seem to be susceptible to even a 3% dip (highly unusual), and there are plenty of technicians and strategists who are now lending credence to the "no resistance for the S&P 500" theory. Two people I respect a great deal, Steve Leuthold and Laszlo Birinyi, have been saying this, and they are tremendous historians of the market and pretty good prognosticators, too. So, even though I am reluctant to chase -- it's never...

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