The next report will be on Thursday, February 13th.
The weight of the evidence continues to support a bull market in stocks. All three major index ETFs are in long-term uptrends and all nine breadth indicators are on bull signals (%Above 200-day SMA, %Above 150-day SMA, High-Low Percent). The breadth indicators weakened into January as the market corrected, but then rebounded into February with Nasdaq 100 breadth leading the way. The junk bond yield spread remains at narrow levels so there are no signs of stress in the credit markets. Short-term rates remain in a downtrend and the Fed has yet to turn hawkish. There is some concern with the 10-yr Treasury Yield and its wedge breakout so I will be watching this closely.
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Video Headlines
- Long-term evidence supports bull market.
- SPY, QQQ and RSP in long-term uptrends.
- SPX, NDX and S&P 1500 breadth indicators bullish.
- SPX %Above 200-day 150-day indicators improve
- NDX %Above 150-day exceeds 70% and new highs expand.
- S&P 1500 breadth lags.
- The Junk bond spread shows no stress.
- The Fed went on hold, but has yet to turn hawkish.
- The 10-yr Yield turned volatile, but breakout remains.