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Waterfall declines and aftermaths

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After a waterfall decline, there is almost always a retest. The DJIA has broken the waterfall lows nearly 70% of the time. Leadership has remained defensive during the retesting phases after waterfalls. Post-retest, leadership has been aggressive. This cycle market cap and beta could be two attractive areas.

Ned Davis Research | Equities | U.S. Focus | Weekly

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