The incredibly disparate trade that has occurred between/among the four US trading indices since the October 2022 lows continues. The DOW has taken the out-performance baton and the NDX is the laggard, for now. The RUT has decided to participate in this bull leg and was the strongest among the indices on Monday. The SPX is in an 8-day increasingly mature Balance Area.

The DOW is very stretched to the upside but less than 2% away from an all-time high, so that might act as a magnet before anything resembling a “normal” pause occurs. I know the trend is up but there is no way I will chase a market this vertical with practically no retracement for the past 6 weeks and counting.

SPX 30m/Breadth

NYSE breadth held up really well during today’s brief drop. It is overdue to reach the lower band highlighted on the chart.