US Stock Rally vs. Market Breadth | Jason Goepfert

The indices soared [on Wednesday, November 6] while the average stock did not. It was one of the worst-ever days for participation on a day the S&P 500 jumped more than 2.5%.

S&P 500 after a >2.5% gain with less than 70% NYSE up issues and up volume.

On the NYSE, fewer than 70% of issues rose, and less than 70% of volume flowed into those issues. This has only happened 3 unique times - the aftermath of the 1987 and 2020 crashes and around the 2000 peak.

Jason Goepfert, November 7, 2024.

 

 S&P 500 futures after gapping up more than 1% the day after the US presidential election.

 

On track for only the 3rd gap up of more than +1% the morning after an election since the inception of S&P 500 futures. The other two were pretty, pretty good.

 

  Jason Goepfert, November 6, 2024.

Strong NYSE Breadth Indicates Liquidity is Abundant | Tom McClellan

Strong NYSE breadth says liquidity is plentiful.

A higher number of advancing stocks suggests bullish sentiment, 

more declining stocks bearish sentiment.

Tom McClellan — October 16, 2024.  

"No need to fear S&P 500 new all-time highs … until they cease."

Jeff Hirsch — October 17, 2024.

A doomed empire in the grips of morons and criminals.

Pervasive Euphoria Across The Market | Lines on a Chart by Tom

The markets closed another week at record highs, with the S&P 500 up by 2.3%, the Nasdaq by 3%, and the Dow by 2%. [...] I want to share two charts that caught my attention: The first chart, courtesy of Sentimentrader, depicts the small speculator index at the bottom. The annotation succinctly captures the essence of the chart— "small speculators are all in." 

 

 Small speculators are all-in.

This mirrors my observation last week regarding fund managers being fully invested based on the NAAIM index. The alignment between market participants, both large and small, underscores the pervasive euphoria across the market.

 Tech leadership vs S&P 500 is at highs exceeding the Great Financial Crisis.

The second chart, from Bank of America Global Research, highlights the Technology leadership versus the S&P 500, reaching levels surpassing those seen before the Great Financial Crisis. This serves as an intriguing backdrop to maintain awareness as sentiment and positioning continue to stretch.

Quoted from:

TomTheTrader1 @ Twitter/X
Lines on a Chart by Tom - (Mar 24, 2024) - The Market & The Moon. 

 

This week’s NAAIM Exposure Index number is 93.22. 

Active fund managers are all-in.

 

 [Euphoriameter]

 

 [CNN Fear & Greed Index ]

 

 

 [McClellan Oscillator]