Almost half of S&P 500 hit a 52-week high yesterday. 44% is the highest single-day record in over twenty years. $SPY $SPX pic.twitter.com/4zruICWAEw
— Andrew Thrasher, CMT (@AndrewThrasher) May 11, 2021
Today’s Chart of the Day was shared by Andrew Thrasher (@AndrewThrasher). Andrew highlights one bright spot within yesterday’s ugly price action. The S&P 500 logged its first 1% drop in 35 trading days yesterday, which was the longest streak without a 1% decline since November 2019. However, 44% of the stocks within the S&P 500 reached 52-week highs, marking the highest percentage of new 52-week highs in over 20-years. In other words, there was a new high in new highs even while the index dropped 1%. If this is a major cyclical top, you’d expect to see a deterioration in new highs, rather than an expansion in new highs like what we saw yesterday.