Positive Breadth

As shown in the first chart below, the S&P 500 has yet to break above its August highs.  But breadth as measured by the percentage of stocks in the index that are trading above their 50-day moving averages has broken above the highs seen in August, indicating that there is a lot of underlying strength in the index at the moment.  As shown, 80% of the stocks in the S&P are currently above their 50-days.  This isn't quite to the highest levels seen over the last year, but it's getting close.

Comments

[shawn]

Hi BIG, just one question, what do the lines represent on that first trading range chart? i wanted to reconstruct it on my own to backtest it further. Thanks!