Strong Market Breadth Suggests Bull Market Still Has Room to Run

S&P 500 News

Strong Market Breadth Suggests Bull Market Still Has Room to Run
Ishares Russell 1000 Growth ETFIshares Russell 1000 Value ETFCommunication Services Select Sector SPDR® Fund
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Stocks Analysis by Investing.com (Calogero Selvaggio) covering: S&P 500, iShares Russell 1000 Growth ETF, iShares Russell 1000 Value ETF, Communication Services Select Sector SPDR® Fund. Read Investing.com (Calogero Selvaggio)'s latest article on Investing.

2023 saw mega-cap growth stocks dominate, but the new year has shown a shift with communication services surging.Learn more here>>

While the 2020 post-pandemic market holds the record for the strongest gains , the 1946 bull market saw the weakest performance, albeit still positive . Finally, a breakout occurred late last year, and 2024 has seen consolidation above a key support level. Such consolidations often signal a continuation of the long-term trend, which in this case remains bullish.

However, before declaring a definitive bearish turn, we need to see a weakening in market breadth. This would manifest as a general market reversal, but currently, 58% of S&P 500 stocks remain above their 200-day moving average.

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