68% of the S&P 500 traded to a 20-day high yesterday, marking one of the best readings in 50 years, and consistent with the momentum thrust you want to see in the initial few months off a major low.
Three major sectors are on the verge of breaking out from
2-year ranges. This would reinforce the start of a new cyclical leg higher, similar to 2012 and 2016. Charts via
@verrone_chris
@Todd_Sohn
Great trend, but tactically Tech is stretched here. At nearly 20% above its 200-day average,that’s enough to qualify as a statistical extreme in our work. Chart from
@verrone_chris
@Todd_Sohn
Today marks 3 months to Election Day. The S&P 500's performance in the 3 months thru Election Day is 87% accurate in predicting the election winner – historically if performance is positive the incumbent party has won and if performance is negative the incumbent party has lost.
Wednesday also marked 65 trading days (3 calendar months) off the March 23rd low. The S&P’s 36.3% gain over that stretch ranks 3rd best since 1950, only fractionally trailing the first few months off the 2009 low (38.8%) and the 1982 low (38.7%). Pretty good company.