This Has Happened Only 3 Times Since 1959, and the Previous 2 Instances Led to Serious Bear Markets

For more than three years, Wall Street's major stock indexes -- the iconic Dow Jones Industrial Average (DJINDICES: ^DJI), broad-based S 500 (SNPINDEX: ^GSPC), and innovation-fueled Nasdaq Composite (NASDAQINDEX: ^IXIC) -- have been whipsawed. In 2020 and 2022, the major indexes navigated their way through bear markets. Meanwhile, 2021 and the first eight-plus months of the current year have resembled bull markets.

When uncertainty rules the roost on Wall Street, as it has for years now, investors often turn to history as a guide. Although there isn't an economic datapoint or predictive metric that can, with 100% accuracy, forecast short-term directional moves in the Dow Jones, S 500, and Nasdaq Composite, there are indicators with phenomenally strong track records of doing just that.

Last week, one of those leading indicators offered a sobering message for Wall Street and investors.

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Source Fool.com