Tough to be a Bear with AD Line at All Time Highs

While price action remains near-term choppy and ranged bound, one market breadth indicator, the cumulative advance-decline line, continues quietly trending to all time highs.

Here’s a look at the S&P500 $SPY ETF over this same time period.

Having the cumulative AD line out in front leading the broad averages while they consolidate is one of the most bullish formations it can be in.

Of course this doesn’t guarantee us an upside resolve, this is just one indicator and piece of data, amongst other mixed signals.

This just happens to be one of the brightest spots in a bull thesis.

If you’re not familiar with market breadth indicators, I just put together this educational article on how to apply them.

I’ll have more analysis in our usual weekend market recap video later today, enjoy the  weekend!