If you missed it, I broke down this dashboard and how I actually use it in my process during my weekly show.
Breadth continues to do the heavy lifting, and this week’s data adds further confirmation that this is an environment we want to participate in.
Week over week, we saw broad-based improvement across multiple sectors and timeframes, with more stocks reclaiming short-, intermediate-, and longer-term moving averages.
That kind of expansion matters, because sustainable trends are built on participation, not just a handful of mega-cap names.
These were two areas we highlighted last week, and the follow-through has been exactly what you want to see.
Both sectors continue to show strong improvement across the 20-, 50-, and 100-day measures, signaling that buyers remain in control and that leadership is broadening beyond the usual suspects.
Zooming out, this isn’t just about the starters. The BenchWarmers are finally getting off the bench.
Materials in particular are showing meaningful strength under the surface, with improving participation across multiple lookbacks.
I broke down these moves in detail in Friday’s live video, walking through the forgotten names that are quietly setting up.
If you missed it, it’s worth the watch. This is how rotations start, quietly, before everyone notices.
The Stalk List
$RSP - The "Average" S&P 500 Stock
The average stock in the S&P 500 is making new all-time highs.
It’s broad participation, the tide lifting most boats, and that’s exactly the type of environment where participation is the key.
$XLF - Financials - Earnings Kickoff
Financials kick off earnings this week, so all eyes stay here.
As long as price holds above that key support zone, the trend remains healthy.
I’m not adding exposure right ahead of earnings, but I am absolutely paying attention. Losing that level would change the conversation.
$XLB - Are You Sleep on Materials?
Materials have been on the sidelines for a long time, and now they’re finally waking up.
Expansion into new areas of the market has never been a bad thing, especially when it’s happening alongside strength in the average stock.
This is rotation, not speculation, and it’s another checkmark in the breadth column.
$XRT - The "Average" Retail Stock
Speaking of the average stock, the average retail stock is making all-time highs. That should tell you a lot about the current tape.
This is not a selective market where only a few themes work. Participation continues to broaden, and retail is adding confirmation, not raising red flags.
$XLY - Discretionary Shaping Up
Another all-time high, this time in Consumer Discretionary.
Notice the theme here. Big bases resolving higher across multiple groups.
The Santa Claus rally may not have lived up to the hype, but the follow-through to start the year absolutely has.
$QTUM - Quantum Stocks
Even the more speculative corners of the market are shaping up again.
Quantum stocks are breaking out, not as isolated lottery tickets, but as part of a broader risk-on backdrop.
When both rotation plays and higher-beta themes are working, that’s information worth respecting.
$IWM - Small Caps Waking Up
I’ll be honest, I’ve never been a big small-cap guy.
There are individual names I like, but as a group, it’s rarely been my favorite place to hide.
That said, the recent breakout attempt is bullish from a market health perspective.
When small caps resolve higher from big bases, it usually supports the broader trend, even if you don’t own them.
My Two Cents
This is a dealer’s choice market.
You can almost throw a rock and hit something that looks constructive.
That might feel uncomfortable to some, but stocks go up in bull markets, and what we’re seeing now are resolutions from long, sideways bases.
Yes, earnings can bring short-term volatility, but the weight of the evidence still favors participation.
