A brief history of the US stock market crashes and bear markets
Bank of America presents the 10 largest S&P 500 drawdowns
The chart below shows 10 different S&P 500 drawdowns for the first 252 trading days unless the bottom was reached before then. In the past, there were only 3 times when the market crashed over 20% in just a few weeks: 1929, 1987 and 2020.
The rest 7 were slower grinds including the most recent bear market in 2022 or the Great Financial Crisis started in 2007.
As you can see, most bear markets are rather gradual and as we can guess cover a lot of bear market rallies confusing many investors. This is why is extremely difficult to hit the bottom while investing.
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