Market Call: Bad Breadth Still An Issue

Will the stock market rally broaden? If it doesn't do so, will the rally fade? Below, Joe Feshbach offers his opinion from a trader's perspective. In our opinion, concerns about the market's bad breadth is just another brick in the wall of worry that the stock market has been climbing since the bear market bottomed on October 12, 2022.

It has been widely noted that the S&P 500 has been led higher by the MegaCap-8 (chart). Excluding them, suggests that the rest of the market is barely up. However, that conclusion misses the fact that lots of industries that don't include any of the MegaCap-8 have performed very well since October 12 (table).