S&P 500 Breadth
Tuesday, January 10, 2012 at 03:14PM As shown below, 80% of the stocks in the S&P 500 are currently trading above their 50-day moving averages. While the index itself has broken above its late October highs today, the percentage of stocks above their 50-days in the index is not nearly as overbought now as it was then.
Don't look now, but the Financial sector currently has the highest percentage of stocks above their 50-days (94%) out of all ten S&P 500 sectors. Industrials ranks second at 93%, followed by Materials at 90%. Health Care (85%) and Consumer Staples (86%) are the only two other sectors that have readings higher than the 80% reading for the S&P 500 as a whole. While Technology has been getting a lot of attention so far this year, just 68% of the stocks in the sector are currently above their 50-days, so there's quite a bit of room to run on the upside if it wants to. The Energy sector's breadth reading is even lower at 53%, even as oil has moved back above $100.
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