×

The Dow's 10-day win streak could mean more gains by December

articipants run ahead of Victoriano del Rio's fighting bulls during the sixth bull run of the San Fermin festival in Pamplona,
Ander Gillenea | AFP | Getty Images

The Dow extended its winning streak to 10 days on Monday, propelling the index over 22,000. The Dow also notched nine consecutive record closes in this period.

There have been five other times since 1980 that the Dow's winning streak reached at least 10 days:

  • 1/2/87-1/20/87 - 13 day streak
  • 12/18/91-1/3/92 - 11 day streak
  • 11/4/96-11/15/96 - 10 day streak
  • 3/1/13-3/14/13 - 10 day streak
  • 2/9/17-2/27/17 - 12 day streak

Using hedge fund analytics tool Kensho, CNBC ran a study to see what happens four months after the Dow's streak ends.

Following at least 10 consecutive positive days, the Dow has traded positively in every instance since 1980, logging an average gain of 6.6 percent, four months later.

The S&P traded positively in four of five of those periods, returning an average of 4.88 percent.

Disclosure: NBCUniversal, parent of CNBC, is a minority investor in Kensho.