This Lie Detector Says the S&P500 Breakout is Real

Today marked a new all time closing high today in the S&P500 after roughly 26 days of consolidating within a percent or two from highs.

Even better, was the surge in market breadth that we saw along side of this move.

Take a look at the NYAD, which is the NYSE cumulative advance decline line. I use this indicator as my $SPY lie detector.

When there’s divergence between the indicator and the SPY, I know something is fishy.

But when both are in agreement, then SPY is likely telling the true story.

Could today’s move to all time highs still be a fake out to the upside?

Sure, but given everything we’re seeing, there’s now more evidence stacked up in the bulls corner.

If you’ve been following our updates, you know we’ve been fairly hands off while bouncing around this recent range, but today members  and I finally had enough signal to add back some new long exposure.

Oh, and that sweet looking road map discussed yesterday, might have just taken a sharp turn in the other direction.

Thanks for reading and good luck out there.