The strong breadth readings over the last few days triggered one of my oldest and most favorite breadth studies.
There are a lot of positive numbers and the edge appears to be to the upside. Results between 70 and 90 days appear especially strong and consistent. Below is the full list of 80-day results.
That is quite the winning record. Of course every time is different, and we are facing an unfriendly Fed at the moment. But similar breadth thrusts have a strong track record of seeing more gains over the intermediate-term.
More details on this study, along with additional research and studies, can be found in this weekend’s subscriber letter. Sign up for a free trial – no credit card required.