Nice Stock Bounce, But…

This week’s stock market bounce may not have been all it was ‘cracked’ up to be.
We’ve been warning quite a bit regarding what we call ‘cracks’ in the internal structure of the market.
Specifically, while the large-cap stocks have held up quite well, there has been a distinct deterioration in the number of stocks market-wide that are still participating to the upside. Even during this week’s very nice bounce in the market, the internals were not all that impressive. In fact, for as good a day as we saw in the Nasdaq, some of the breadth figures were historically weak.

This post was published at Zero Hedge on Aug 24, 2017.