Chart of the Day - Wednesday, November 29, 2023

Today’s Chart of the Day was shared by Alan Cohen (@al_xdpg). The chart shows new highs minus new lows on the NYSE, smoothed by a 20-day moving average (blue). New highs have exceeded new lows in recent weeks, pushing the 20-day moving average into positive territory for the first time in three months. Alan points out that the S&P 500 tends to trend higher when the 20-day moving average of net new highs is above zero and vice versa. The market has been awfully quiet this past week, but we continue to see internal improvement beneath the surface.