Breadth Still Declining

Some try to tell me
Thoughts they cannot defend
Just what you want to be
You will be in the end
--Moody Blues

In a pattern evident for months, stock market breadth continues to weaken despite the current rally. For example, on an an equal weight basis, the SPX is marking near 3 year lows.

The implication is that a few mega cap names are propping up the major market cap weighted indexes.

Support dwindling toward fewer names is typically bearish--sometimes severely so.

position in SPX