September 10, 2014
The average bull market since World War II has lasted 4 1/2 years and produced gains of 140%. Thus far, the 2009-2014 bull market is 5 1/2 years long and +202% in the green.
Breadth as measured by the NYSE Cumulative Advance/Decline Indicator continues to make new all-time highs. This should peak before the stock market eventually tops out.
This is still a momentum market—which means further upside is in the cards, but risks are elevated in this environment.
This is a stock market that is still in synch. The S&P500 Index and the Dow Jones Transportation Average have both hit all-time highs recently. The NASDAQ Composite and NYSE Financial Index have both hit new recovery highs. Homogeneous stock markets are a healthy sign.
Barry S. Arnold, The Primary Trend, www.primarytrendfunds.com, September 5, 2014
