Stocks at 52 Week Highs.

According to BeSpoke Investment Group, "In Friday's trading, there were three S&P 500 stocks that hit new 52-week highs (CL, DGX, and TDC) and only one stock that traded to a new 52-week low (WFR). This ended a nine trading day streak where more stocks hit new lows than new highs. Since the bull market began in March 2009, there has only been one other period where new lows exceeded new highs for nine trading days (8/19 - 8/31). So at this point at least it hasn't gotten worse than last Summer."

I think this is just further evidence that the market is close to becoming washed out if for nothing else than at least a counter rally.  We've shown by our money flow work last week { a few posts below this one on the blog} how this is also showing up in our analysis.  Another thing indicating this likelihood is that the percent of stocks trading above their 40 and 200 day moving averages is rapidly reaching a point suggestive of some sort of rally.  Neither of these indicators is as yet at it's lowest reading, but both have now returned to levels supportive of some sort of move higher.  

As a note there is a good interview with Bespoke in this week's Barrons. {Subscription required.}

Link:  Bespoke: 52 week highs.  

*Long ETFs related to the S&P 500 in client and personal accounts.