parados wrote:In Jan 2000, the DOW was at 11908. In Jan 2008 the DOW has been at 11,502. That would mean the DOW has trended down 45.11 points per year since 2000 and is on a downward trend.
Logically, that is an invalid comparison!
ILLUSTRATIVE EXAMPLE OF A LOGICALLY VALID COMPARISON
In 1878, the XYZ YEARLY AVERAGE was 10,000.
In 1911, the XYZ YEARLY AVERAGE was 9,100. [-30x33=-990]
In 1998, the XYZ YEARLY AVERAGE was 10,840. [+20x87=+1740]
In 2007, the XYZ YEARLY average was 10,615. [-25x9=-225]
In 1878 to 1911, the XYZ YEARLY AVERAGE decreased at an AVERAGE rate of 30 per year.
In 1911-1998 the XYZ YEARLY AVERAGE increased at an AVERAGE rate of 20 per year.
In 1998-2007, the XYZ YEARLY AVERAGE decreased at an AVERAGE rate of 25 per year.
The XYZ YEARLY AVERAGE decreased at greater yearly AVERAGE rates in 1878-1911 and in 1998-2007 than the yearly AVERAGE rate it increased 1911-1998.
So what's your problem?