Strong Momentum in US Stocks

US stocks are on a roll before the elections. There is extremely strong momentum and breadth. See the chart below.

Advance Declines lines for the major indexes are making new highs. This shows the breadth is extremely bullish.

The chart above shows the percentage of stocks above the 200 day moving average. This number went below 70 in March and has now conquered that number again. This shows the rally is broad based and the momentum is spread across a variety of stocks. Again very healthy and bullish.

Ignore the virus, elections etc. The tape suggests we are in a bull market. Stay Long or be wrong!

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