Nazz Shows Relative Strength

The Nasdaq showed strong relative strength today, rising +1.0% versus +0.5% for the SPX.

Strength was notable across many of the economic sectors, and in particular biotechs, retail, and semis.

Volume rose substantially on the Nasdaq, making for a stong and second accumulation day in a row. What was also notable was the strong breadth on both the Nasdaq and NYSE.

Speaking of the NYSE, there were 398 new highs today, representing quite a broadening of leadership. Of course, the last time we had this many new highs was in May, which market a multi-month top in the market. I think the odds are lower of a repear occurrance.

Growth stocks really seem to be gaining leadership. I read a very bullish report from Hays Advisory today about the resurgance in liquidity from the Fed. If the spigots are truly being turned on, it should mean this rally has legs.
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