Primary Market Trend: Expanding Market Health -12/20/23

• We've seen a number of "Thrust" metrics that indicate an expansion of participation has been underway. What was missing was the percent of stocks above their own 50 Day trend (or 50 Day Moving Average). Smaller companies are now joining the game and we are seeing a multi-cap rally.

• This has now finally exceeded 90%. 

• The table below, from Ned Davis Research, shows that since 1967, there have been 21 occurrences of this happening after the percent falls below 75%.

• I find this of interest as I expect weakness by Mid-2024 with a strong resumption of money printing by the Fed followed by gold and stock market prices as well.

• 21 is still a relatively small sample, but supports my view for market strength into Q1. The data is even more encouraging than is my base case expected outcome.