Chart of the Day - Monday, March 11, 2024

🏆 Today’s Chart of the Day was shared by Brian Bond (@BrianBond).

• The S&P 500 was virtually unchanged today (-0.11%), but Brian points out that one popular breadth metric broke out to multi-year highs.

• As of today's close, 82.2% of S&P 500 stocks are above their 200-day moving averages - the highest since September 2021. This figure peaked at 96.8% in April 2021 and deteriorated for eight months into the 2022 peak.

• Breadth usually deteriorates or diverges into a major market top, as seen in 2020 and 2022. However, breadth is currently expanding and confirming the recent strength.

The takeaway: The internals of the S&P 500 have meaningfully improved. Breadth is expanding and confirming the uptrend.