It’s All About Financial Stocks
Click to Enlarge The market has been ramping during the past few weeks with a narrowing base of support, and fewer and fewer stocks participating to the upside. Consider that only 62.7% of the stocks in the New York Stock Exchange are above their 50-day moving averages. That’s down from 85.2% in mid-October, 75.8% at the September peak, 72.7% during the July topping pattern, and 80.4% at the May peak.
If all is well in the global economy, both should be rising in unison.