The average stock in the S&P 500 is currently in a bear market, with a decline of -20.8%.
Here’s the chart:
Let's break down what the chart shows:
The blue line in the top panel is the S&P 500 index price.
The red line in the bottom panel shows the average 52-week drawdown of S&P 500 Stocks.
The Takeaway: Yesterday, the S&P 500 experienced a massive decline, dropping by 4.8%. This marks the largest one-day decline for the index since June 2020.
2025 has been quite the ride so far. In early February, the S&P 500 was at all-time highs. However, just 31 trading days later, the index is down over -12%.
And right now, the average stock in the S&P 500 is in a bear market… Down -20.8%
If you took the time to look under the hood, you'd see that most stocks have not been rising for a while. While some stocks have performed well, the majority have not.
Breadth has been telling us that the market was weak…
And yesterday things got worse…
So, until the bulls intervene to stop stocks from declining, the bears are in complete control.
Grant Hawkridge | Chief Aussie Operator, All Star Charts
PS: All Star Charts Premium Conference Call earlier this week went deep into what’s next for this market — and the trades JC is eyeing right now. If you’re serious about being in the right place to catch opportunities, this is your chance. Join now to get instant access to the replay.
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