In Bull Markets we see more stocks making new highs.
That’s just math right?
And when we talk about new highs, you’ll often hear people discussing the new 52-week high list.
Until recently, this list was almost non-existent.
So while there’s definitely a ton of more action there, we should really be seeing an expansion in new 1-month highs and new 3-month highs.
Crawl before you walk.
If this stock market rally has legs, more new highs is just mathematically necessary for that to occur.
It’s a market of stocks.
Here’s the 3-month high list on the New York Stock Exchange. An expansion in upside participation will go a long way in proving that, yes, in fact the path of least resistance is higher: [Read more…]